Feeds

Europe's SMEs flash the IT cash

Soaring investment

  • alert
  • submit to reddit

Security for virtualized datacentres

The corporate sector may be torched, the retail punters may be keeping their wallets firmly touched, but small and medium-sized businesses (SMEs) may just save the day for beleagured IT companies.

European SME investment in IT is expected to rise from $76 billion in 2002 to $109 billion in 2006. Expected by whom? Step forward, UK research firm Datamonitor which pinpoints IT services as the fastest growing spend.

Of course, SMEs are notoriously difficult, and expensive, for IT vendors to sell to. This is one reason why the SME market is the least consolidated, so far as vendor share is concerned. Another reason is, as Datamonitor points out, SMEs tend to lean more upon their resellers than upon vendors direct. So it is vital for vendors to cosy up to resellers and telcos if they want to grab a slice of this market.

According to Datamonitor, the SME sector has survived the downturn better than most enterprise sectors.

"Ironically this could be due to their previous lack of investment in technologies and general reticence to spend on IT processes they see as non-essential."

But now IT investment is beginning to build momentum. So far as hardware and networking infrastructure is concerned, Western SMEs are "relatively advanced". The focus on investment is shifting to "software, telecoms and IT services. Investment by SMEs in IT services will demonstrate the greatest growth with an expected CAGR of 13% between 2001 and 2006."

There's more from Datamonitor here. ®

Security for virtualized datacentres

More from The Register

next story
The 'fun-nification' of computer education – good idea?
Compulsory code schools, luvvies love it, but what about Maths and Physics?
Ex-US Navy fighter pilot MIT prof: Drones beat humans - I should know
'Missy' Cummings on UAVs, smartcars and dying from boredom
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.