IT spending moves up for 2004

[charrison]

linkage

Due to stronger-than-expected economic and profit growth revealed in 2003 year-end GDP and financial reports, Forrester Research, Inc. (Nasdaq: FORR) is raising its forecast for US IT spending growth to 5 percent in 2004, up from 4 percent. In related research, Forrester's first CIO Confidence Poll, a survey of North American CIOs, confirms growing optimism for this business outlook -- but with a continuation of the trend in IT to "do more with less."


...


-- Computer hardware will grow by 10 percent.

-- Software will grow by 8 percent, mostly for infrastructure and security software, but with some growth in enterprise applications.

-- Networking and communications equipment will be softer at 1 percent growth, due to higher 2003 numbers.

-- Although typically cost-saving investments, Linux and offshore outsourcing continue to be at the bottom of the list of spending priorities.

-- The government sector has the largest proportion of the total US IT spending of any industry.

-- The rate of price decline has slowed for computers, suggesting that stronger demand is stabilizing hardware prices

 

[BugsBunny1078]

That is primarily due to the one time cost of moving the jobs to India. After that the costs go down.

 

[charrison]

Originally posted by: BugsBunny1078
That is primarily due to the one time cost of moving the jobs to India. After that the costs go down.

for the reading impaired



-- Although typically cost-saving investments, Linux and offshore outsourcing continue to be at the bottom of the list of spending priorities.

 

[chess9]

I'm hoping my moribund tech stocks will bounce back. Things are looking better for the tech sector, no?

-Robert

 

[XZeroII]

Originally posted by: BugsBunny1078
That is primarily due to the one time cost of moving the jobs to India. After that the costs go down.

?

 

[alchemize]

Originally posted by: chess9
I'm hoping my moribund tech stocks will bounce back. Things are looking better for the tech sector, no?

-Robert

As long as Bush is re-elected, yes.

 

[CADsortaGUY]

Originally posted by: alchemize

Originally posted by: chess9
I'm hoping my moribund tech stocks will bounce back. Things are looking better for the tech sector, no?

-Robert

As long as Bush is re-elected, yes.

That is a bit strange - no? Ofcourse we all should know by now that numbers and charts can be make to represent pretty much anything - it's the presentation that may differ.

CkG

 

[dmcowen674]

There is some replacement that has to take place, many of the machines changed out in 1999 for the Y2k changeover are showing their age.

 

[CADsortaGUY]

Originally posted by: dmcowen674
There is some replacement that has to take place, many of the machines changed out in 1999 for the Y2k changeover are showing their age.

Yes, and that "replacement" you are talking about will continue and stabalize. There was a rush and then a lull. It should become far more steady now.

CkG