Analysts See Mixed Picture in Spending on IT Hardware, Infrastructure
While the worries on Wall Street and the nation's credit crunch have had the most impact on the financial sector and the banking industry, the crisis has affected the technology sector as well, and analysts are unsure how much IT departments will cut back on their purchases of desktops, notebooks, storage array and server systems in the coming year.As the U.S. stock market continues to fluctuate and Wall Street's biggest firms wait to see if a bailout package will arrive on their doorsteps, there's the question of what will happen to IT budgets as credit becomes scarce and worries mount about the overall health of the economy. While analysts believe it is too soon to tell whether IT budgets will be impacted by what has been happening on Wall Street since Lehman Brothers declared bankruptcy on Sept. 15, it seems clear that there will at least be some slowdown in spending, especially when it comes to purchases of PCs, server systems and storage arrays. How big of an impact this will all have is still unknown.
In a report, IDC said it believes that the financial sector accounts for about 20 percent of all IT spending in the United States, and that the latest calculations suggest that these firms may cut about $3 billion in IT spending in 2009. This is likely to have an impact on purchases of servers and PCs since it is generally easier for IT departments to delay hardware purchases than software purchases.