Gartner Cuts Global IT Spend Estimates For 2013

Mumbai: Research firm Gartner lowered its projections for global IT spending for 2013 to $3.7 trillion due to fluctuation in US dollar exchange rates.

Gartner, in its previous forecast in the last quarter, had projected a growth rate of 4.1 per cent in overall IT spending in 2013 from $3.6 trillion in 2012.

The 2.1 percentage point reduction mainly reflects the impact of recent fluctuations in US dollar exchange rates; growth in constant currency is forecast at 3.5 per cent for 2013, down only slightly from last quarter, Gartner said in a statement.

"Exchange rate movements, and a reduction in our 2013 forecast for devices, account for the bulk of the downward revision of the 2013 growth," Gartner managing vice president Richard Gordon said.

Regionally, 2013 constant-currency spending growth in most regions has been lowered.

"However, Western Europe's constant currency growth has been inched up slightly as strategic IT initiatives in the region will continue despite a poor economic outlook," Gordon said.

IT services are expected to now grow at 2.2 per cent in 2013 to reach $ 926 billion, while data centre systems business is expected to increase by 2.1 per cent to $143 billion.

Also Read: Why Google Wrote a $100 Million Cheque to this Indian

Also Read: This Indian Engineer Just Ditched Cisco For Its Biggest Rival

Source: PTI