China’s tech sector faces a turbulent 2025, grappling with economic headwinds and geopolitical tensions while striving to maintain its position as a global tech leader. Forrester expects China’s tech spending to grow by 7.7% in 2025 to 1.9 trillion yuan (see Figure 5). In 2024, growth was hampered by sagging domestic consumption, a property market meltdown, and US restrictions on advanced computing chips and AI technology.

Lower inflation and interest rates and a vibrant tech sector will enable tech spending (excluding staff costs) to grow by 6.1% in 2025, down slightly from 6.3% in 2024. In 2024, the US accounted for 41% of global tech spending and 46% of AI software spending. The Bureau of Labor Statistics forecasts that the number of data scientists and information security analysts will climb by more than 30% in the next decade.

Escalating software prices, volatile hardware markets, and sovereignty‑driven infrastructure duplication are eroding purchasing power and reshaping technology economics across the region. This report gives CIOs the country‑level forecasts, category trends, and strategic context they need to place disciplined, high‑impact tech bets in APAC’s rapidly evolving landscape.

That’s because tool adoption isn’t automatic: tech executives must confront the messy reality of their content, campaign, and journey processes — not just clean architectural blueprints. They must understand their actual operational processes, not just what’s documented. Kinaxis: Closed 2024 with AI-fueled growth and a challenge to supply chain tools.

Tech sovereignty. Most of Europe’s tech cloud services come from the US, which forces Europe to focus on cloud, security, and data sovereignty and to place legal constraints on US tech firms. Almost half of the European ICT workforce comes from the US-dominated information and communication sectors, which include software, telecommunications, tech consultancy, data processing, and hosting services (see Figure 11).

Global tech spending by enterprises and governments will grow a robust 7.8% in 2026 to reach $5.6 trillion, driven by hyperscalers, cybersecurity, cloud, generative AI, and the digital economy. Tech spending growth will be highest in the Asia Pacific and North America regions. Sectors in defense, financial services, healthcare, manufacturing, and retail will benefit from AI adoption in 2026.

Additional data-driven analysis and resources to guide investment decisions: Regional and industry tech market signals: Forecasts research hub Interactive virtual session: What’s Driving Tech Spend webinar Revenue trends for major tech companies: Global Tech Vendor Tracker Benefit horizons for key technologies: Top Emerging Technologies research hub US Tech Spend Reaches $2.9 Trillion In 2026 With Robust 8.3% Growth Sticky inflation in the services sector, a cooling labor market, and lower consumption

Get data-driven views on regional tech market signals: Global Tech Market Forecast, 2025 To 2030 US Tech Market Forecast, 2025 To 2030 European Tech Market Forecast, 2025 To 2030 Learn more about the benefits and risks of key technologies: Top Emerging Technologies research hub Top Tech Vendors Balance Revenue Growth With Margins To Attract Investment Software, IT services, and computer equipment companies see different margins and revenue growth (see Figure 1).

PTC’s Strategy Delivers Positive Growth In The Industrial Sector PTC’s Q2 2025 results, with ARR reaching $2.29 billion (up 10% in constant currency), reflect its strategy’s success. For industrial CIOs, the mandate is to champion this integrated platform approach over disjointed point solutions.

Security and compliance now inform AI adoption, boosting Adobe and IBM in regulated sectors. Leaders are racing ahead — Oracle’s supercomputing push and Microsoft’s AI data centers set the pace. This report breaks down the results and maps tech executives’ investment strategies to software giants’ moves.