In­for­ma­tion Tech­nol­ogy Re­search and Ad­vi­sory Com­pany Re­leased Lo­cal and In­ter­na­tional IT Spend­ing Fore­cast

HWM (Malaysia) - - SMB -

Ac­cord­ing to the last Gart­ner World­wide IT Spend­ing Fore­cast, the to­tal IT spend­ing in Malaysia is said to grow 11 per­cent to RM67.9 bil­lion in 2014. How­ever, IT spend­ing in the Asia Pa­cific re­gion is pre­dicted to reach US$746 bil­lion in 2014, up three per­cent from 2013, but 1.4 per­cent lower than the pre­vi­ous fore­cast of 4.4 per­cent.

Gart­ner’s Man­ag­ing Vice Pres­i­dent, Richard Gor­don said that price pres­sure based on in­creased com­pe­ti­tion, lack of prod­uct dif­fer­en­ti­a­tion, and the in­creased avail­abil­ity of vi­able al­ter­na­tives so­lu­tions has had a damp­en­ing ef­fect on the short-term IT spend­ing out­look.

On a global scale, the re­port said that the world­wide IT spend­ing is on pace to to­tal US$3.7 tril­lion in 2014, which is a 2.1 per­cent in­crease from last year.

“How­ever, 2015 through 2018 will see the re­turn to ‘nor­mal’ spend­ing growth lev­els as pric­ing and pur­chas­ing styles reach a new equi­lib­rium. IT is en­ter­ing its third phase of devel­op­ment, mov­ing fast from a fo­cus on tech­nol­ogy and pro­cesses in the past to a fo­cus in the fu­ture on new busi­ness mod­els en­abled by dig­i­ti­za­tion,” added Gor­don.

The re­port fur­ther spec­u­lated that the de­vice mar­ket will grow in 2014 reach­ing US$685 bil­lion, a 1.2 per­cent in­crease from 2013. This is cred­ited to the high pen­e­tra­tion of tablets in the U.S., which is at 50 per­cent, but with high-end tablets on the de­cline, in fa­vor of lower-priced util­ity tablets.

Richard Gor­don, Man­ag­ing Vice Pres­i­dent at Gart­ner.

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