Worldwide IT spending to grow by 5.1% at USD 4.6 trillion in 2023

IT spending worldwide is forecasted to grow by 5.1 percent in 2023 at USD 4.6 trillion compared to 2022, a report by Gartner said.

According to the latest projection by Gartner, the demand for IT in 2023 is expected to be strong as enterprises push forward with digital business initiatives in response to economic turmoil.

"Enterprise IT spending is recession-proof as CEOs and CFOs, rather than cutting IT budgets, are increasing spending on digital business initiatives," John-David Lovelock, VP Analyst at Gartner, said in a statement.
The report mentioned that the technologies that are being maintained versus those that are driving the business are evident by their projected growth rates in 2023.

There is sufficient spending within data centre markets to maintain existing on-premises data centres, but new spending continues to shift to cloud options, as evidenced by the 11.3 percent projected growth for software spending in 2023.

"Economic turbulence will change the context for technology investments, increasing spending in some areas and accelerating declines in others, but it is not projected to materially impact the overall level of enterprise technology spending," Lovelock said.

"However, inflation has cut into consumer purchasing power in almost every country around the world. Consumer purchasing power has been reduced to the point that many consumers are now deferring 2022 device purchases until 2023, driving spending on devices down 8.4 percent in 2022 and 0.6 percent in 2023," he added.

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