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IT Budget Forecast: 9% Growth
Written by Administrator
Monday, 03 October 2005
SAN FRANCISCO -- A just-released poll of chief information
officers predicts IT budgets will grow 9% over the next 12 months, up 2
points over August. Storage beat security software as the top
spending priority.
Nearly half -- 48.4% -- of the respondents plan to increase
spending on computer hardware, up from 42.3% in August. Positive sentiment at companies under 100 employees is at record
levels.
The poll of
more than 2,000 mostly North America CIOs is taken monthly by Deutsche Bank and
CIO Magazine.
Spending projections were up in all categories in September,
with the exception of data networking and security
software.
CIOs at the smallest firms (<100 employees) predicted a 17% IT
budget growth, while firms of 101 to 500 workers forecast 12% growth.
Firms of 501 to 1,000 workers expect 8% growth. The largest categories, 1001 to 5000 and >5000 workers, expect 5% growth.
Fifty-four percent of respondents plan to increase spending on storage,
the poll found, up from 51.2% in August. Security software
spending placed second with 51.6% of panelist planning to increase
spending.
More than half (52%) of CIOs expect the next wave of innovation will
come from the U.S., followed by China (18.4%), India (11.1%),
Europe (7.9%), Southeast Asia (5.8%) and Japan (4.2%).
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