Gartner hails 'recession proof' enterprise IT spending

Analyst predicts robust growth for 2023

Gartner has hailed the ‘recession proof' nature of enterprise IT spending as it forecast 2023 global IT spending growth of 5.1 per cent.

Although inflation has cut into consumer purchasing power, business IT spending will continues to rise next year, the market watcher predicts.

Some 69 per cent of CFOs quizzed by the analyst in July said they plan to increase their spend on digital technologies.

"Enterprise IT spending is recession-proof as CEOs and CFOs, rather than cutting IT budgets, are increasing spending on digital business initiatives," said John Lovelock, distinguished VP analyst at Gartner (pictured above).

"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".

Gartner expects total worldwide IT spending to rise 5.1 per cent next year to hit $4.6bn.

Breaking the IT market down by segment, software is set to see the highest growth in 2022, swelling 11.3 per cent to $880bn, with IT services in line to increase by 7.9 per cent to $1.21tn. Datacentre systems spending is set to rise by 3.4 per cent to $216bn.

The communications services market is on course to grow a more muted 2.4 per cent to $1.46tn, while device revenue is projected to fall 0.6 per cent to $735bn.