Gartner Seminar / ITxpo Summit Australia Gold Coast Station was held from October 24th to 27th. During this time, analysts delved into the next evolution of the digital business.
According to Gartner, the world's leading information technology research and consulting firm, global IT spending will reach $3.5 trillion in 2017, driven by growth in software and IT services revenues, up 2.9 percent from the estimated $3.4 trillion in 2016. %; China's IT spending is expected to reach $337.729 billion and $353.316 billion in 2016 and 2017, respectively.
The software and IT services segment has always been a bright spot in the Asia Pacific region. Software spending is expected to increase by 6.4% in 2016, and in 2017 the ratio will increase by 10.2% to reach $39.3 billion (see Table 1). In 2016, IT service spending grew steadily by 2.9% to $93 billion, and will increase by 6% in 2017 to $98.8 billion.
Table 1. Asia Pacific IT Expenditure Forecast (Unit: Million US Dollars)
Source: Gartner (October 2016)
At the Gartner Symposium/ITxpo Summit on the Gold Coast, Peter Sondergaard, senior vice president and global research director at Gartner, said that more than 1,500 CIOs and IT executives at the site said that every organization needs a digital platform strategy.
Sondergaard believes: "The various stakeholders in the digital platform will bring great value to each other, and the battle for ownership of the digital platform has already begun. Fortunately, those who dare to innovate, lead and eventually succeed in creating a new digital platform, Companies that better meet their customers' needs than their competitors will see incredible growth opportunities. But the bad news for companies that have just learned about this disruptive change is that you are already behind. â€
“Although within the business ecosystem, not every business should assume a leadership role. However, CIOs must collaborate with their business peers to incorporate digital platform development into their technology and business strategic planning.â€
“The CIO will be involved in the construction of the new digital platform and will be centered on intelligence. The platform will support a variety of ecosystems that connect the business and drive industry change. It will transform the entire society and the way people live.â€
The new digital platform will extend the traditional IT infrastructure with new technologies that are not familiar to the general IT department, covering five areas—traditional IT systems, customer experience, Internet of Things (IoT), intelligence and ecosystem foundations.
Sondergaard believes: “All these areas are both connected and independent. They perform their duties and are indispensable. As the ecosystems will be the subject of the next round of digital transformation, the digital platform will take you step by step. In the business world, government, and consumer ecosystems. This is a new way for you to compete on a large scale."
Gartner analysts discussed major IT and business issues driving digital business development at the Gartner Symposium/ITxpo Summit. This is one of the common points of interest for attendees who are concerned about the impact of Brexit and the upcoming US elections on IT investments.
John D. David Lovelock, vice president of research at Gartner, said: "In 2016, the direct impact of Brexit has led to a slight increase in IT spending to negative growth. If the UK is not included, global IT spending will reach 0.2% in 2016. Micro-growth; but if the UK is included, IT spending is expected to fall by 0.3%. As IT prices increase, the direct impact of the pound will also lead to changes in IT spending patterns."
Enterprises will pay close attention to the negotiation process and some changes will occur in IT investment. For example, in the financial services sector, analysts expect some countries in Europe to increase IT investment to provide EU countries with more viable options than the UK.
Mr. Lovelock believes: “We have noticed that Germany and France are increasing spending on software and IT services, while UK services remain relatively stable. Other countries like the Netherlands, Luxembourg and Ireland are also increasing IT spending to provide viability for banks in the UK. Alternatives. We have noticed that many banks are discussing with these countries to study the possibility of moving their business out of the UK."
Although there are only three weeks left before the US presidential election, Gartner analysts believe that the upcoming election or winning candidate will not have an impact on IT spending trends.
"We also considered the US presidential campaign and the potential Fed rate cuts. In general, IT spending during the election will be short-term pauses, and then will resume spending. However, the trend shows that US IT spending does not depend on presidential leadership, Both party candidates will not have a significant impact on recent IT spending."
For a more detailed analysis of the IT industry outlook, you can participate in a free webinar: “The latest outlook for IT spending in the third quarter of 2016: The impact of Brexit is not limited to the UK†(IT Spending Forecast, 3Q16 Update: Impacts of Brexit Not Limited to the UK). During the webinar, Gartner analysts will discuss the direct and negative impact of Brexit on global IT spending.
Gartner's approach to IT spending forecasting depends to a large extent on the rigorous analysis of thousands of vendors' sales data that provide a wide range of IT products and services. Gartner uses a variety of mainstream research techniques, supplemented by secondary research resources, to create a comprehensive database of market size data to implement forecasts.
Gartner's quarterly IT Spend Forecast report provides a unique perspective on IT spending in market segments such as hardware and software, IT services and telecommunications. These reports help Gartner customers gain insight into market opportunities and challenges. For the latest IT spending forecasting studies, see the Gartner Worldwide Spending Forecast. The quarterly IT Spend Forecast page contains links to the latest IT Spend Reports, webinars, blog posts, and press releases.
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