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For IT Spending & Budgeting Professionals

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December 20, 2005

Europe's IT Spending Outlook For 2006

Business Technographics Europe

by Manuel Ángel Méndez

with Reineke Reitsma, Ashara Giordanelli

This is an excerpt

Executive Summary

The outlook for IT spending in 2006 is even more austere than 2005's. European enterprises will raise IT spending by just 1.6% next year, with expected new IT investments hitting a new low — 21% of overall IT budgets. Why this extremely cautious environment? Pressure on IT departments to support business goals more efficiently, coupled with an ongoing focus on securing and automating the IT infrastructure, will cause companies to further squeeze IT budgets. Firms will prioritize security software applications like antivirus, host intrusion prevention, and Web applications. In the IT services arena, downward price pressure is likely to continue in 2006, as nearly half of firms have set reducing their IT services spending as a critical or important priority. Big technology providers like Cisco, HP, IBM, Microsoft, Oracle and SAP dominate next year's vendor purchasing preferences.

TABLE OF CONTENTS

  • An Overview Of 2006 Enterprise IT Spending Plans
    • IT Spending Growth Remains Sluggish For 2006
    • IT Needs To Push For Efficiency And Business Innovation
    • Software Investments Will Take IT Spending Priority
    • Enterprises Will Cut Back IT Services Spending
    • Microsoft Leads 2006's Enterprise Software Spending Increase
  • Using The Data
  • Supplemental Material

This is an excerpt

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RESEARCH CATEGORIES

Technology

IT Spending & Budgeting

Geography

Asia Pacific, Europe, North America