Gartner: Worldwide IT spending is forecast to decline 0.5% in 2016

Worldwide IT spending is forecast to total $3.49 trillion (€3 trillion) in 2016, a decline of 0.5 per cent over 2015 spending of $3.5 trillion, according to Gartner. This is down from last quarter's forecast of 0.5 per cent growth. The change in the forecast is mainly due to currency fluctuations. The research company noted that business leaders are engaging in tough cost optimisation efforts in some areas to fund digital business in others, as they try to balance reductions in overall spending with the need to invest in IT to support digital business. The most evident results of these optimisation efforts are in the switches in spending between assets and services. Gartner noted that most traditional IT now has a 'digital service twin': licence software has cloud software; servers have Infrastructure as a Service; and cellular voice has VoLTE. Report