Global IT 2008 Market Outlook

Global purchases of IT goods and services — which equal IT vendors' revenues — will equal $1.7 trillion in 2008, growing by 6% after a 12% increase in 2007. A declining US dollar boosted 2007 growth rates and will do so in 2008 as well; measured in euros, global IT purchases growth will be 4%. A US economy in or near recession will be the main cause of slower 2008 growth, pulling down growth in IT purchases both in the US and with major trading partners in Europe and the Americas. IT purchases in the US will grow by less than 3%, while growth in Western and Central European purchases will slow to 3%; IT purchases in the rest of the Americas will expand in local currencies at 6% rates. Asia Pacific and the oil-exporting area of Eastern Europe, Middle East, and Africa will be the main engines of growth. Total global spending on technology goods, services, and staff, the global IT operating budget from a CIO perspective, will reach $2.4 trillion in 2008, an 8% increase from 2007.