Technology

The stance of Information Technology
in mid 2020

As we witness a new era of post pandemic life and have spun into the third quarter of 2020, we at Softcodeit have summarized the direction of the Information Technology industry towards its advancements and forecasted future.

Following are excerpts from valid and authenticated reports:

  • According to IDC Worldwide Semiannual Digital Transformation Guide released on July 2020, the global annual spending on technologies and services is about to a hit a colossal amount of $2.3 trillion as forecasted.
  • “COVID-19 has wiped off almost $500 billion of worldwide DX (digital transformation) technology investment between 2020-2023 from our pre-COVID-19 forecast," added Eileen Smith, program vice president with IDC's Customer Insights and Analysis Group. "Yet despite these losses, pockets of growth opportunities exist across most industries when diving deep into specific use cases that solve specific business problems. A few examples include RPA-based claims processing in insurance, digital visualization in education, omnichannel commerce platforms in telecommunications, and clinical trial operational excellence in process manufacturing." - IDC Worldwide Semiannual Digital Transformation Guide, July 2020
  • As mentioned by IDC Worldwide Semiannual Digital Transformation Guide the United States will remain the largest contributor and geographic market for DX spending, while Europe will be the second largest followed by China. Europe and China is predicted to deliver the strongest year-over-year growth in DX spending at 13.6% for China and 12.8% for Western Europe.
  • CompTIA’s Cyberstates report reveals that the economic impact of the U.S. tech sector, measured as a percentage of gross domestic product, exceeds that of most other industries, including notable sectors such as retail, construction, and transportation.
  • As per CompTIA, “As with any forecast, especially one as far-reaching as overall industry growth, many factors can play a role in the estimation. On the upside, spending on emerging tech may accelerate and even drive additional spending in well-established areas that act as foundational pieces. Conversely, currency fluctuations or trade policies could have a negative impact, causing companies to tighten their belt on discretionary IT purchases”

On evaluating the above statistics and forecasts based on the analysis represented, it is conclusive despite the evident decline the IT industry has an evident balance and opportunity for growth.