Feeds

US IT spending slows

Figures from Forrester

High performance access to file storage

Spending on information technology in the US will slow sharply in 2007, claims analyst firm Forrester.

Growth rates will drop from seven per cent in 2005 - 2006 to just two per cent in 2007.

Forrester says IT spending is governed by two factors: changes in overall growth and the introduction and adoption of new technology.

Since 2001 the US has been busy adopting internet technologies which has kept spending at around seven per cent - in line with US GDP. But Forrester expects to see a sharp drop in consumer spending in 2006 or 2007 due to worries over interest rates, energy costs and a potential drop in the housing market. This will prompt a rapid drop in IT spending with decreases in hardware investment leading to cutbacks in spending on staff and services.

Forrester believes US business will react quickly to any slowdown by hacking at IT spending. However the analyst house believes IT spending will rebound quickly and start to rise again after 2008. In the period 2008 - 2010 growth will rise to nine per cent.

The firm believes there are three distinct investment periods for technology - growth and innovation and digestion.

Read the press release here.

High performance access to file storage

More from The Register

next story
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
France bans managers from contacting workers outside business hours
«Email? Mais non ... il est plus tard que six heures du soir!»
prev story

Whitepapers

Mainstay ROI - Does application security pay?
In this whitepaper learn how you and your enterprise might benefit from better software security.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Mobile application security study
Download this report to see the alarming realities regarding the sheer number of applications vulnerable to attack, as well as the most common and easily addressable vulnerability errors.