Gartner has spoken and IT spending must increase, barring disaster

Gartner announced its Enterprise IT spending prediction for 2013. It seems after a really tough year there will be an increase in IT budgets next year.

This could even be sustained if senior business executives have their way with technologies such as social media, mobile, analytics and the cloud.

Gartner reckons that the amount spent globally by businesses next year will increase 2.5% next year reaching $2.679tn.

Well that is of course if there is not an additional economic shock says Gartner.

I think the interesting part is that some of the sustained growth in spending will come in the areas of social media, mobile, analytics and the cloud, labeled the SMAC stack by one supplier. Senior executives in the business are requesting this type of technology.

Suppliers have been touting these areas for some time but it now seems that those that count, the CIOs, are also going for it and they have the backing of the CEOs. These technologies have crossed the chasm between the consumer and business sectors.
Last month I attended the Computer Weekly CW500 Cub and listed to two presentations from IT leaders about their use of technologies such as mobile, cloud and social media. They were Chris Hewertson, the CIO of Colt Telecom and BA’s head of Service Transformation Glenn Morgan.

Hewertson, CIO at Colt, talked about the company’s bring your own device programme (BYOD) and the challenges associated with introducing that. This programme includes introducing Wi-Fi, enabling staff to use any device they want and Colt paying for the support.

He said the company had focussed its investment on the technology that serves its customers and is now investing in technology to support its own operation.

Morgan talked about the criticality of mobile to BA and its customers. He talked about mobile applications for customers, such as check in and choosing where to sit as well as providing staff with the devices they want.

According to Forrester there will be a huge challenge integrating mobile working into the back office systems. This could lead spending on IT services providers as businesses look for the right skills to do this. See this article I wrote.

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