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15 July 2014

Gartner: Now is a good time to buy IT

Pricing pressure means buyers are now getting a better deal from IT suppliers, according to analyst company Gartner. The analyst firm's latest forecast of IT spending has found that suppliers are coming under pressure from increased competition and lower-cost cloud-based alternatives to traditional enterprise software. Traditional enterprise software suppliers are not differentiating products enough to justify a premium, while systems integrators are losing out because cloud products are generally easier to deploy. Gartner's Worldwide IT Spending Forecast found that price pressure based on increased competition, lack of product differentiation and cloud computing was driving down prices among IT suppliers. Richard Gordon, managing vice-president at Gartner, said commoditisation was driving down the price of IT. "Last quarter we had marginal growth, but zero growth this quarter. There is a lot of price pressure, so suppliers are not charging as much," he said. More from Gartner Gartner Outsourcing Summit 2013: How digitisation is...

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