– IT, including hardware, is one of the big beneficiaries of the US economic stimulus plan, says TFI Quarterly Forum’s
chief economist, Matt Chanoff. But, as big as it is, it’s too small to make up directly for the shortfall driven by the global recession, he adds.
More than $65 billion of the plan goes directly into high-tech spending. The top winners are medical infomatics ($22.7 billion); green tech support ($17.3 billion); smart grid power grid development ($11 billion); broadband and video conferencing ($7.5 billion), and automotive green tech ($4 billion).
Approximately one-third of this spending will go directly to hardware, meaning the US government will inject about $22 billion in spending over two years into an industry with $2.2 trillion in annual worldwide revenue, according to Chanoff. In other words, the US government package should directly add about 0.5% to industry revenue, he says.
"Success from the stimulus package requires clarity on what is available and how we can quickly leverage this injection of funds for the benefit of our industry,” said Kathleen Geraghty, TFI Quarterly Forum president.