Gartner Notices The Recession
Gartner's latest IT spending numbers project a 3.8% decline in global outlays for 2009. That's worse than the aftermath of the tech bubble.
By now we all understand that projections are imprecise at best in a downturn of this magnitude -- the numbers are reactions, not ahead-of-the-curve thinking.
The good news is that Gartner's new numbers aren't too terribly much worse than Forrester's predictions from January (see link above). Once the forecasters capitulated to reality and chucked the happy numbers they'd been peddling into the teeth of the recession, the numbers themselves became less important.
Oh yeah, the numbers:
The unprecedented decline of the global economy is impacting the IT industry with worldwide IT spending forecast to total $3.2 trillion in 2009, a 3.8 percent decline from 2008 revenue of nearly $3.4 trillion, according to Gartner, Inc.
"IT organizations worldwide are being asked to trim budgets, and consumers are cutting back on discretionary spending," said Richard Gordon, research vice president, and head of global forecasting at Gartner. "The speed and severity of the response by businesses and consumers alike to these economic circumstances will result in an IT market slowdown in 2009 that will be worse than the 2.1 percent decline in IT spending in 2001 when the Internet investment bubble burst."
In a broad-based slowdown, the forecasts for all four of the key market sectors of hardware, software, IT services and telecommunications have been revised downward, with only software spending growth remaining positive.Another Gartner report discusses where the money is going.