This Gartner article talks about something I have been commenting with some colleagues several times: the customers are spending less and less money. IT is an industry that destroys itself, and some times or some events provokes the expenditure to be reduced.
What the article provides are details and figures that explains the trend.
- It reduces the increase of IT expenditure from 4.1% to 2.1%. In this other article you can see the forecast of 4.1%.
- IT outsourcing is growing slower than expected as sharply reduced pricing by the largest vendors is impacting the cloud storage services market.
- The device market is growing less than expected due to the decrease of unit price of the devices. Forecast goes from 6.5% growth to 1.2%.
- IT outsourcing is growing slower than expected as sharply reduced pricing by the largest vendors is impacting the cloud storage services market. Again say goodbye to “outsourcing”.
- DBMS software market is expected to have strong growth as DBMS adoption is driven by big data and digitization initiatives.
- Slower growth is expected in the applications market, specifically office suites and digital content creation.
One of the feelings I have on software is that the move from license subscriptions to cloud services really costs as much as a software license. What is true is that the adoption of cloud services make it easier for companies to cut staff or redeploy workers to make other things, I would say IT services really to decrease in future more and more.
I have compared the 2 tables and this is the result: