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Global IT Could Grow 6 percent This Year Print E-mail
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Business confidence is higher than it’s been in nearly two years, according to a survey of IT leaders at more than 1,100 companies by CompTIA. The Downer’s Grove, Illinois-based organization’s quarterly poll measuring sentiment about the economy, IT industry and individual companies hit its highest level since the survey began in mid-2009. CompTIA also forecast the global IT industry would grow 4 percent this year with the potential to hit 6 percent.

The overall results point to an industry on a roll that is expected to continue through 2011. The seven-point jump in the index took it to 60, on a 100-point scale. And the IT company executives surveyed forecast the index would rise five more points by mid-year.

In other findings, 45 percent of U.S. IT firms plan to increase spending for new products and business lines. Forty-three percent expect technology-related investments, which represents a 10--point increase over the reading in the survey conducted in the third quarter of 2010

Hiring news was also positive, with one in three U.S. IT companies revealing plans to increase staffing levels over the next six months. Tim Herbert, vice president of research for CompTIA, said the staffing trends didn’t indicate IT hiring was out of the woods yet, however. “While the economic landscape is dramatically improved over a year ago, the employment situation is still cause for concern,” he cautioned.

In some countries outside the US, sales expectations were even more robust. Respondents in Brazil, India and China all predicted upside IT industry revenue growth of 7.5 percent. CompTIA suggested caution on the sales front, too, however. Although unit sales may rise due to pent-up demand and hot niches like emerging markets and healthcare, continuing cost sensitivity may hold prices down.

The survey also highlighted key technology trends for the year, including cloud computing, which it said would eclipse all other tech trends. Data proliferation would also provide both challenge and opportunity for firms that can deal with it, the organization said. Other key technology trends include mobile and wireless computing, social networking and smartphones.

CompTIA predicted that VoIP virtual telephony, multi-person video chat, mobile video conferencing, and related applications would play leading roles in shaping technology trends this year. Another trend was toward automation, as organizations sought to trim labor-intensive processes, improve accuracy and consistency and use data more wisely.

The surveys from which the latest CompTIA IT Industry Business Confidence Index and 2011 Outlook was drawn took place during December 2010. Respondents include 1,118 IT companies in the United States as well as Australia, Brazil, Canada, China, Germany, India, Ireland, Italy, South Africa and the United Kingdom.

 




Comments (1)
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1. 02-27-2011 23:10
 
While it is good to see the industry continuing to recover it is also nice to see that these companies are remaining a little cautious. Given their history it does seem like a good idea to wade into the water a little slower this time around. 
 
-sean
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