Four Tech Trends to Anticipate in 2020
What kind of IT budgets are organizations looking at in 2020, and how do they plan to spend them? Spiceworks surveyed technology buyers across North America and Europe for their annual State of IT report.
Key findings from the report reveal four major themes:
- IT budgets will rise in 2020 as businesses replace outdated tech.
According to Spiceworks research, 88% of companies expect their IT budgets to grow or stay the same over the next 12 months. More specifically, 44% of businesses plan to grow year-over-year IT spend in 2020, which is up from 38% in 2019. Among companies expecting an IT budget bump in 2020, they anticipate an 18% increase on average.
- Security incidents fuel enterprise IT spending.
On average in 2020, businesses will invest 7% of their total IT budgets on security — spanning hardware, software, cloud services, and managed services categories. Larger organizations are especially concerned, as 25% of enterprises (businesses with 1,000+ employees) will increase IT spend in 2020 due to a recent security incident, compared to only 4% of small businesses.
- Adoption of many emerging technologies to increase rapidly.
Adoption of AI technology is expected to triple by 2021, while use of hyperconverged infrastructure and edge computing is expected to double. Likely because they have more resources, 32% of large enterprises (5,000+ employees) already utilize artificial intelligence, compared to 8% of small businesses. Additionally, 31% of large enterprises use blockchain technology, compared to only 6% of small businesses.
- Business use of 5G to accelerate.
Adoption of 5G tech is expected to quintuple within the next two years, growing from the current adoption rate of 7% to a planned adoption rate of 37% by 2021.
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