Organizations have made it a high priority to better manage their data and keep it secure. And in 2020, many will be spending more on IT to meet these goals.
A study by IT community Spiceworks, based on a survey of 1,005 business and technology buyers from organizations across North America and Europe that it conducted in July 2019, showed that aging technology infrastructure and growing security concerns were among the drivers for IT budget Increases for this year.
Of those organizations surveyed, 44 percent plan to increase their IT budgets. Those organizations that expect IT budget growth anticipate an 18 percent increase, on average. Only 8 percent of the respondents expect IT budgets to decline in 2020.
One quarter of the organizations surveyed reported that a recent security incident was driving them to increase their 2020 IT budget.
Many businesses might have the ability to deploy more cutting-edge technologies as their IT budgets grow and it becomes critical to replace outdated hardware, software, and services, according to Peter Tsai, senior technology analyst at Spiceworks.
The survey showed that adoption rates of artificial intelligence (AI) technologies are expected to nearly triple, from 15 percent in 2019 to 42 percent by 2021, while adoption of hyperconverged infrastructure, edge computing, and serverless computing technologies are expected to double to 46 percent, 43 percent, and 40 percent over the same time period, respectively.
When examining how technology budgets will be allocated in 2020, the findings showed that on average organizations surveyed plan to spend 33 percent of their IT budgets on hardware, 29 percent on software, 22 percent on hosted/cloud-based services and 15 percent on managed IT services.
