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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