IT Budget Forecast for 2017 Mirrors 2016 Estimates
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IT Budget Forecast for 2017 Mirrors 2016 Estimates
While spending on cloud computing projects will be up for 2017, IT budgets overall are expected to be in-line with this year's levels, a new survey from Spiceworks finds. -
IT Budgets Stay Flat for 2017
On average, IT budgets will be $294,081, up about 1% from the $293,093 organizations say they will on average spend on IT in 2016. However, 60% of respondents say they expect the amount of revenue their organizations generate to increase in 2017. IT spending is usually tied to a percentage of revenue. -
IT Staffing in 2017
The vast majority of organizations (64%) expect to see no change in their IT staffing requirements in 2017, but 30% did say they expect the size of their IT staffs to increase. -
Budget Allocation for 2017
Just over one-third of the budgets (35%) will be allocated to hardware projects, down 2 points from 2016. Software projects will account for 29% of the budget; down 2 points from 2016. Managed services will drop from 13% to 12% in 2017, but cloud-based projects will rise from 14% to 17% of the budget in 2017. -
Top Hardware Categories for 2017
The dominant line items in the IT infrastructure budget are desktops (18%), servers (17%) and laptops (16%), followed by networking (9%). -
Top Software Categories for 2017
Virtualization tops the list at 15%, followed closely by productivity applications and operating systems, tied at 13%. -
Top Managed Services Investments for 2017
General IT services tops the list, at 17%, followed closely by consulting, at 15%. Storage and hosting services are tied at 14% each. -
Top Cloud/Hosting Investments for 2017
Email hosting tops the list, at 17%, followed by backup and recovery (14%) and Web hosting (11%). -
Drivers of New IT Acquisitions
End-of-life licensing and warranty issues were cited by 70% as the primary reason for acquiring new products. Company growth/additional needs was cited 63% of the time, followed by upgrade/refresh cycles (59%), project need (58%) and end-user requirements (57%). Least cited were new features (27%) and discounts on product pricing or services (11%). -
Technology Adoption Curve
A little more than four in 10 (41%) already have a mobility solution in place, and 14% plan to implement one. Meanwhile, 33% say they have advanced security solutions in place while 25% are planning to adopt them. Additionally, 30% have invested in IT automation and 19% plan to do so. -
Most Important IT Initiatives
Security tops the list, at 77%, followed by networking (72%), storage (64%), virtualization and software (tied at 62%), and mobility (23%). -
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IT budgets for 2017 are apt to be similar to those of 2016, according to the findings of a survey conducted by Spiceworks, a provider of IT management software. Spending is expected to be relatively flat, with the majority of organizations opting to keep the size of their IT staffs about the same as in 2016, according to the study, which is based on a poll of 900 IT professionals. In addition, the study suggests there won't be much change in how IT dollars are allocated, even though security and networking projects are deemed to be the most strategic initiatives that IT organizations plan to launch in 2017. About the only place there will be a shift in spending is more funding for cloud computing projects. Most of that funding, however, appears to be reallocated from hardware, software and managed services budgets. As usual, end-of-life support issues will be the biggest driver of IT products and services. Solution providers across the channel should pay particular attention to how little new product features or discounts on products and services influence actual IT budget allocations. Channel Insider examines key findings from the study.
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