Never miss a story

Get subscribed to our newsletter


×
Worldwide IT spendings drop by 8% due to coronavirus. Pixabay

Due to the COVID-19 induced global economic recession, worldwide IT spending is projected to total $3.4 trillion in 2020, a decline of 8 per cent from 2019, according to a forecast by Gartner on Wednesday.

In October 2019, months before the outbreak of COVID-19, Gartner predicted that global IT spending was expected to rebound in 2020 with forecast growth of 3.7 per cent, primarily due to enterprise software spending.


But now the coronavirus pandemic and effects of the global economic recession are causing CIOs to prioritise spending on technology and services that are deemed “mission-critical” over initiatives aimed at growth or transformation, Gartner said in its latest forecast.

“CIOs have moved into emergency cost optimisation which means that investments will be minimised and prioritised on operations that keep the business running, which will be the top priority for most organisations through 2020,” John-David Lovelock, Distinguished Research Vice President at Gartner, said in a statement.

“Recovery will not follow previous patterns as the forces behind this recession will create both supply side and demand side shocks as the public health, social and commercial restrictions begin to lessen.” All segments are expected to experience a decline in 2020, with devices and data centre systems experiencing the largest drops in spending.


Global IT spending dips by 8% amid pandemic. Pixabay

However, as the COVID-19 pandemic continues to spur remote working, sub segments such as public Cloud services (which falls into multiple categories) will be a bright spot in the forecast, growing 19 per cent in 2020.

Cloud-based telephony and messaging and cloud-based conferencing will also see high levels of spending growing 8.9 per cent and 24.3 per cent, respectively, according to the forecast.

“In 2020, some longer-term Cloud-based transformational projects may be put on hiatus, but the overall Cloud spending levels Gartner was projecting for 2023 and 2024 will now be showing up as early as 2022,” said Lovelock.

Also Read: Kashmir Volunteers Feed Stray Dogs During Lockdown

“IT spending recovery will be slow through 2020, with the hardest hit industries, such as entertainment, air transport and heavy industry, taking over three years to come back to 2019 IT spending levels,” said Lovelock. (IANS)


Popular

Photo found on Pixabay

Books on Delhi

The city of Delhi has seen it all; from sultanate rule, to dynasties, and to colonial rule. From monarchy to democracy, Delhi has gone through its phases. But, in order to know and explore the nuances of Delhi, you must read these beautiful books.

1. City of Djinns: A Year in Delhi by William Dalrymple

Keep Reading Show less
Photo by Viator.

Ghats of Varanasi, one of the oldest cities of India

There are some of the Indian cities which are older than time. Therefore, we must know which cities are they, and what has been their history!

1. Varanasi (1200 BC–)

Keep Reading Show less

Human hair wigs have several advantages over synthetic wigs

By- Digital Hub

I prefer synthetic wigs as it isn't something that I would wear all the time - just when I look different. Additionally, their ease of use is an essential factor for me. However, suppose you're looking to wear a wig for a fashionable accessory or as a way for you to show your personality. In that case, I'd recommend buying multiple synthetic wigs of various styles and colors instead of only the one human hair wig at the same amount. However, be cautious - only purchase top-quality synthetic braids that are more expensive as you might be disappointed by the new style you've chosen.

Keep reading... Show less