2013-02-27 03:13:12 - New Computer Technology market report from Business Monitor International: "United States Information Technology Report Q1 2013"
BMI View: US IT spending is expected to reach US$586bn in 2013, up 5%, with BMI leaving its 2013-2017 forecast largely unchanged, but extended, this quarter, despite a further contraction in PC sales in Q312. Meanwhile, as political negotiations concerning the 'fiscal cliff' continued in the wake of the November 2012 elections, public IT procurements remained constrained due to the budget constraints faced by many government entities. Overall moderate growth in budgets is expected but much depends on the economic situation. Despite a drive to cut expenses across government, many public sector organisations have appeared willing to continue to spend on IT, but the government hopes to make savings in its US$80bn IT budget. US businesses remain cautious, but there
is pent-up demand from projects delayed as a result of the economic situation and cloud computing is expected to be increasingly important.
Full Report Details at
- www.fastmr.com/prod/541293_united_states_information_technology_ ..
Headline Expenditure Projections
* Computer Hardware Sales: US$149bn in 2012 to US$154bn in 2013, +3.4% in US dollar terms. Forecast in US dollar terms unchanged but Windows 8-based tablets and notebooks could provide growth areas in 2013.
* Software Sales: US$163bn in 2012 to US$172bn in 2013, +5.5% in US dollar terms. Forecast in US dollar terms unchanged, but more investment is expected in utility software and serviced-orientated architectures rather than traditionally packaged PC software.
* IT Services Sales: US$249bn in 2012 to US$2462bn in 2013, +5.2% in US dollar terms. Forecast in US dollar terms unchanged with an increasing share of IT budgets earmarked for newer solutions such as virtualisation and cloud computing.
* Risk/Reward Ratings: The US's score was 76.3 out of 100.0. The US retains first place in our latest Americas RRR table, ahead of Canada, as well as Latin American giants such as Brazil and Mexico. The country's ranking was secured by its global highest industry rewards score of 82.5, with its rating also boosted by a relatively high country rewards score of 90.0.
Key Trends & Developments
* The US federal government's ambitious Cloud First cloud migration strategy has tasked government agencies with migrating 80 services to the cloud within 18 months. Key government agencies including NASA and the General Services Administration are already using the cloud to collaborate and deliver applications. The government hopes to eventually realise savings of up to US$12bn per year from the move and will seek further savings by closing 472 federal datacentres by the end of 2012.
* IT vendors will be concerned when it comes to the effect of the ongoing US federal deficit issue and the failure of politicians to agree a deficit reduction programme to avoid the 'fiscal cliff'. If automatic federal spending cuts kick in during the next fiscal year, this could hit IT projects. Given continuing split party control of the legislative branch of government, with Republicans continuing to control Congress, while the Democrats have the majority in the Senate, the November 2012 elections have failed to resolve uncertainty about the trajectory of future government IT spending.
* US PC sales are forecast to report single-digit growth in 2013, after a further annualised contraction in Q112-Q113. In 2012, sales of ultrabooks fell far short of Intel's prediction that ultrabooks would comprise 40% of US notebook sales by the end of 2012. While exact sales figures were hard to arrive at, due to initially high prices, these devices therefore seem unlikely to enjoy hoped-for success, at least initially. In the United States, in H112 the average market price for an ultrabook was upwards of US$900, compared with an average of around US$500 for a Windows notebook.
Report Table of Contents:
BMI Industry View
- Business Environment
- Table: Telecoms Sector - Internet - Historical Data & Forecasts
- Industry Forecast
- Table: US IT Industry - Historical Data And Forecasts (US$mn unless otherwise stated)
Industry Risk Reward Ratings
- Table: Americas IT Risk/Reward Ratings
Industry Trends And Developments
- Table: IT Regulatory Authorities
- IT Services
- Table: Selected Dell Mergers And Acquisitions
- Microsoft Corporation
- IT Penetration
- Market Growth And Drivers
- Sectors And Verticals
- United States Demographic Data
- Table: The United States' Population By Age Group, 1990-2020 ('000)
- Table: The United States' Population By Age Group, 1990-2020 (% of total)
- Table: The United States' Key Population Ratios, 1990-2020
- Table: The United States' Rural And Urban Population, 1990-2020
- How We Generate Our Industry Forecasts
- IT Industry
- IT Ratings - Methodology
- Table: IT Business Environment Indicators
- Table: Weighting Of Components
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Business Monitor International (BMI) offers a comprehensive range of products and services designed to help senior executives, analysts and researchers assess and better manage operating risks, and exploit business opportunities, across 175 markets. BMI offers three main areas of expertise: Country Risk BMI's country risk and macroeconomic forecast portfolio includes weekly financial market reports, monthly regional Monitors, and in-depth quarterly Business Forecast Reports. Industry Analysis BMI covers a total of 17 industry verticals through a portfolio of services, including in-depth quarterly Country Forecast Reports. View more research from Business Monitor International at www.fastmr.com/catalog/publishers.aspx?pubid=1010
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