Analysts at the market research firm are discussing the emerging trends that are driving digital society and IT spending during the Gartner IT Symposium/Xpo slated here through Thursday.
Global IT spending is expected to rebound in 2020 with forecast growth of 3.7%, primarily owing to enterprise software spending.
“The slowdown in IT spending in 2019 is not expected to stretch as far into 2020 despite concerns over a recession and companies cutting back on discretionary IT spending,” John-David Lovelock, Research Vice President at Gartner, said in a statement.
Today’s complex geopolitical environment has pushed regulatory compliance to the top of organisations’ priority lists.
Overall spending on security increased 10.5% in 2019, with Cloud security projected to grow 41.2 % over the next five years.
“This is not just about keeping the ‘bad guys’ out. It is also about the expanding need to be compliant with tariffs and trade policy, intellectual property rights, and even with the multiple and sometimes overlapping privacy laws,” added Lovelock.
Despite the ongoing tariff war, US IT spending is forecast to grow 3.5% in 2019, but IT spending in China is expected to grow only 0.1%.
“Tariffs do not have a direct effect on IT spending, yet. Should tariffs extend to devices like PCs and mobile phones, we will likely see manufacturers switch supply routes to minimize costs and have their technology made outside of China,” noted Lovelock.