CW+ Premium Content/Computer Weekly

Private sector buyers of IT and services face higher costs from new tariffs levied by the US. Meanwhile, possible retaliation by other countries and trading blocs, especially China and the European Union (EU), make the outlook even more uncertain. However, the private sector has opportunities to reduce or delay the impact of tariffs that IT buyers in the public sector lack. Public sector CIO room for manoeuvre is limited by budget constraints, the need to deliver projects within fixed timescales driven by electoral cycles and the essential nature of their services. Private sector organisations, meanwhile, can increase prices or even withdraw products and services from the market, if IT costs make them unprofitable. But they also have more flexibility around how they source technology, especially in the cloud. So far, the direct impact of tariffs announced by the US government has been limited. In part, this is because some proposed tariffs have been paused. This includes the 10% basic tariff on almost all imports into the US. ...