What Is Happening Now In Tech Services Spend?
After months of companies tying their IT spending to how to do more with less, sentiment is shifting to spend in order to drive business value. Where will IT spending occur for the rest of 2023, and what are the implications?
Current Trends in IT Spending
After a period of companies focusing on cost-saving measures, there is a noticeable shift towards spending that drives business value. While initial budgets saw an increase, many companies reduced discretionary spending mid-year. However, there is now a gradual increase in funding for initiatives that enhance business value, particularly in mature digital areas.
Generative AI presents significant opportunities for organizations to enhance their tech stacks. However, companies are cautious about funding use cases due to concerns over managing risks related to intellectual property and data exposure. This hesitance is currently limiting investments in generative AI technologies.
The talent market remains tight, with companies potentially facing challenges after laying off tech staff. While finding talent in North America can be difficult, there are opportunities in regions like India. As a result, many companies are establishing their own offshore capabilities to address these talent shortages.
What Is Happening Now In Tech Services Spend?
published by Route22 Limited
Route22 Ltd is a website builder, IT and Internet services provider, based in Caterham in Surrey, just south of London. We have many years experience in the computer industry and a strong desire to provide a top quality service.
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