IT budgets are on the rise and predominant technological implementations include hardware and security solutions, according to a 2004 spending study from ITtoolbox. The survey of nearly 300 IT professionals examined businesses’ IT needs and budget allocations, finding that many are driven to spending to remain competitive.
More than one-quarter of the total group of respondents indicated that their company’s annual IT purchasing budget was less than $100,000, with small, medium and large-sized businesses each allocating accordingly.
Largely determined by the CEO of the organization, more than half of the respondents measured budget increases of 1 to more than 10 percent in 2004, while only 45 percent of participants in the 2003 survey cited increases over 2002.
A greater number of Asian organizations expected increases of more than 10 percent than the European and North American companies — 27.50 percent compared to 20.30 percent and 22.30 percent, respectively. Most (35.90 percent) European organizations expected increases under 10 percent, with nearly 30 percent not seeing any changes to their budget.
”Results for the 2004 ITtoolbox IT Spending Survey agree with other recent industry data that indicate IT budgets are finally waking up from a multi-year hibernation. Fifty-three percent of the survey participants indicate a spending increase over the prior year, while only 12 percent indicate a decrease in spending,” commented George Krautzel, ITtoolbox co-founder and president.
While the bulk of overall recent and current technology implementations include replacing desktop PCs, other hardware upgrades, database software, and networking technologies, security solutions and wireless applications lead the ”to do” list for the coming year. Different implementations took precedence depending on company size and location.