With improving economies in the US and elsewhere offsetting weakness in Europe, Japan, and oil-exporting countries, the global tech market will see growth of 5.3% in 2015 and 5.9% in 2016, according to Forrester’s annual forecast.
The projected growth, which can be attributed to technologies that focus on the end customer, will bring the global tech market in US dollars to $2.337 trillion in 2015 and $2.483 trillion in 2016. Forrester projects that software — the way that companies must differentiate in the age of the customer — will represent $677 billion of total tech budget spending in 2016, a 9.2% increase from 2015. In contrast, computer equipment will represent only $412 billion of spending in 2016, with modest 5.0% growth from 2015.
At the country level, the US will continue to be the major driver of global tech market growth and will set the pace for the rest of the world with rates of 6.3% in 2015 and 6.1% in 2016. China, India, Israel, and Sweden will join the US in having the fastest growth among the 20 largest tech markets, while Eastern Europe, Japan, and Russia will continue to lag behind.