Global IT Spending To Reach RM15 Trillion This Year
Those are large numbers and it goes to show how tech becomes part of every budget in the global economy as more corporate and countries invest heavily in IT solutions.
In Malaysia, spending on technology products and services is forecast to reach RM61.9 million this year, up from 2016 according to Gartner. Industry-specific disruptive technologies include the Internet of Things in manufacturing, blockchain in financial services, and smart machines in retail are seen as drivers for the wave of growth. These business require massive processing power for the amount of data they release and data centres are all the buzz word.
Companies like Amazon, Google, Facebook and Microsoft continue to invest into data centres as more business migrate to cloud. Data center cost anywhere from few hundred thousands to billions, Google spent about RM15 billion in 2014 while Amazon also invested billions to ramp up its competitiveness. This also leads to worldwide enterprise software market to grow as software applications allow more organizations to derive revenue from digital business channels, there will be a stronger need to automate and release new applications and functionality.
Worldwide spending on devices (PCs, tablets, ultramobiles and mobile phones) is projected to grow 3.8 percent in 2017, to reach $654 billion. This is up from the previous quarter’s forecast. Mobile phone growth will be driven by increased average selling prices (ASPs) for premium phones in mature markets due to the 10th anniversary of the iPhone and the increased mix of basic phones over utility phones. However, the tablet market continues to decline, as replacement cycles remain extended.