Many IT leaders expect to see their budgets to increase or remain unchanged. This is driven largely by the need to upgrade aging infrastructure, accelerate digital transformation via a shift to the cloud and enhance their overall IT security posture.
According to Spiceworks’ annual State of IT report on IT budgets and tech trends:
- Most companies (89%) expect their IT budgets to grow or stay steady in 2019.
- The need to upgrade outdated IT infrastructure is the biggest driver of IT budget increases in 2019.
- More than one-third of midsize companies (500 to 999 employees) saw IT budget increases due to corporate tax cuts.
- Small businesses are making significant increases to their hardware budgets while large enterprises are increasing their cloud budgets in 2019.
Transform and Secure
“Most organizations are increasing IT budgets in 2019 to upgrade aging IT infrastructure and support digital transformation initiatives,” says Peter Tsai, senior technology analyst at Spiceworks. “However, large enterprises, typically with more data and devices to lock down, are primarily increasing budgets due to growing security concerns.”
Digital transformation was one of the biggest trends in 2018, and it looks like that will continue in 2019. Businesses will continue to allocate IT budget towards technology that enables them to deliver on customer needs and improve security and impact.
With so many different technologies hitting the market, it’s incredibly difficult for any organization to truly know that one versus another is the best fit for their environment. your decision. In addition, they know that making the right choice of technology is only part of the challenge, as integrating it into your current applications and workloads without creating new complexities and risk is critical.
In addition, according to Spiceworks’ research, 88 percent of large enterprises are increasing IT budgets to tackle security concerns.
Why? Security is no longer "nice to have." It's an imperative. As critical systems and business processes become modernized, it also opens the door to risk. The same power that enables these technologies to radically transform business processes also brings the potential to cause gaps in security and loss of information if not properly secured.
As with most major IT initiatives, digital transformation and security is an evolving journey. A seasoned partner can be an invaluable asset in guiding you on your path. If your organization thinking about undertaking a digital transformation or security initiative? We can help, tell us about your challenge.