The CIO Magazine Tech Poll, conducted by CIO Magazine and Ed Yardeni, Chief Investment Strategist of Deutsche Banc Alex. Brown, predicts that corporate IT budgets will grow by 7 percent over the next 12 months, down from a 9 percent growth rate predicted in March. The results of the poll, which asks detailed questions about technology spending, are used to determine the CIO Magazine Technology Growth Indices, which map current spending and predict future trends.
Technology clearly remains the weak link in the business sector.
That figure is down 11 percentage points from the response in the March survey. About 45 percent of respondents said they planned to increase spending on computer hardware, down from 51 percent in March. CIO Tech Poll panelists said they expect to spend 16 percent of their IT budgets on developing business over the Internet, both B2B and B2C, during the next 12 months. While this figure is up from the 14 percent spent for the previous 12 months, it is down from projects made last summer of 25 percent or more. Respondents also said they expect to generate about 11 percent of their revenues from Internet activity, a figure that compared favorably to the 8 percent generated during the previous 12 months.