Leading research body Gartner has predicted that worldwide IT spending will grow by 5.1 per cent in 2011.
In total, business spending on IT services is forecast to hit $3.6 trillion by the end of the year, up on the $3.4 trillion seen in 2010.
Gartner has raised its outlook for 2011 global IT spending from its previous forecast of a 3.5 per cent increase, following last year's impressive growth
Analysts for the research body explained that currency exchange rate fluctuations have continued to affect the US dollar-denominated forecast.
"Aided by favorable US dollar exchange rates, global IT spending growth is expected to exceed five per cent in 2010, but a similar level of growth in 2011 - while forecast - is far from certain, given continued macroeconomic uncertainty," said Richard Gordon, research vice president at Gartner.
"While the global economic situation is improving, the recovery is slow and hampered by a sluggish growth outlook in the important mature economies of the US and Western Europe. There are also growing concerns about the ability of key emerging economies to sustain relatively high growth rates."
Mr Gordon added that the increase in spending is likely to be helped by organisations' belief that investment in IT is now increasingly seen as vitally important to business growth strategies.
Posted by Richard Jones