April 22, 2004

The State Of IT In The SMB Market

Business Technographics North America

by Meredith Morris

with Tom Pohlmann, Natalie Lambert, Tamara Mendelsohn

Executive Summary (This is a document excerpt)

Forrester surveyed 1,002 technology decision-makers at North American small and medium-size businesses (SMBs). On average, these businesses expect to spend 6.6% more on IT than they did in 2003. Security and connectivity top their wish lists, and approximately three-fourths of them will buy new servers and networking equipment this year. Dell dominates mindshare among server, storage, and PC buyers — the latter group expecting to replace, on average, one in four PCs this year. On the software front, SMBs' demand for packaged apps is lukewarm, as it is for enterprise-class companies — key differences, though, are that SMB buyers pay more attention to Microsoft and its push upmarket seems to be gaining traction in medium-size businesses. Platform apps, such as portal software, have yet to take hold in SMBs, especially in small businesses.

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