Shrugging off slowdown, global IT spending to rise 3.7 per cent in 2020

Here’s a piece of good news for the Indian IT industry. After a lull in spending in 2019, global IT spending is likely to go up by 3.7 per cent in 2020, due primarily to enterprise software spending. The IT spend this year is pegged at $3.7 trillion in 2019, a marginal increase of 0.4 per cent over the 2018 figure.

Despite the ongoing tariff war, IT spending in the US is forecast to grow 3.5 per cent in 2019, but that in China is expected to grow at only a dismal 0.1 per cent.

“Tariffs do not have a direct effect on IT spending, yet. Should tariffs extend to devices such as PCs and mobile phones, we will likely see manufacturers switch supply routes to minimise costs and have their technology made outside China,” John-David Lovelock, Research Vice-President at Gartner, said in a statement on Wednesday.