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Sunday, November 23, 2008

Tech Spending Slump Expected In First Quarter '09

High-tech spending projections for the first quarter of 2009 are "abysmal -- the worst ever," reports ChangeWave, a firm that has surveyed companies since 2001. The bottom line: 45 percent of respondents said their business's IT spending will decrease (or there will be no spending at all) in the quarter -- that's 16 points lower than the previous survey, ChangeWave's Paul Carton said in a blog post. Ten percent of respondents said IT spending will increase -- a three point drop from earlier reports.

Meanwhile, spending is plunging at a time of year when the industry normally experiences seasonal increases. ChangeWave asked respondents if their IT spending was on track thus far in the fourth quarter and by a wide margin, the results were the worst on record. In one of a few upbeat findings, the corporate smart phone market continues to show growth -- with BlackBerry maker Research in Motion maintaining its lead, but Apple continuing to make inroads in small to medium-sized businesses.

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