IT budgets rising in 2023 despite inflation, recession fears

Spiceworks Ziff Davis concluded as much in its, out today. Of the nearly 1,000 IT buyers surveyed, 83 percent said they were worried about how a recession in 2023 could affect their businesses. Despite that, just over half said they plan to increase their IT spending in 2023, while only 6 percent said they're reducing their IT budget.

Peter Tsai, senior technology analyst at SWZD, said during a press conference that he found a surprise when cross-referencing some of the data: Among companies preparing to make cuts to their overall business spending in 2023, 68 percent were still planning to increase their IT budgets.Around 40 percent of those budget increases will be due to inflation, although price increases were only a secondary consideration for respondents, the report said.

Instead, IT budgets are being primarily planned around the need to replace outdated hardware, an increased priority on IT projects, employee growth and security concerns. What this all points to, said Jim Rapoza, VP and principal analyst at SWZD subsidiary Aberdeen Strategy and Research, is that the business world had an epiphany during the early days of the COVID-19 pandemic.

"Businesses that invested in technology during the pandemic saw significant benefits. Our research revealed improvements across performance, reliability, security, and even reduced overall IT costs among organizations that modernized their infrastructure — even if it was initially out of necessity," Rapoza said.

Lessons learned during the early days of the pandemic are still fresh in the minds of many leaders, Rapoza added, saying that those who chose to invest in IT modernization and infrastructure didn't just survive the pandemic – many thrived. Because of that, those leaders now see IT investment and agility as a key part of future planning.

It is shrinking on publicly traded firms. It might be delayed.

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Microsoft China turns 30, gives the gift of jobs and promosMicrosoft China turns 30, gives nation the gift of jobs and export promotion It also exports civil surveillance technology. Yay~~~
Source: TheRegister - 🏆 67. / 61 Read more »

IT budgets rising in 2023 despite inflation, recession fearsTurns out all it took was a business-disrupting global pandemic It is shrinking on publicly traded firms. It might be delayed.
Source: TheRegister - 🏆 67. / 61 Read more »