BBC Home
Explore the BBC
BBC News
Launch consoleBBC NEWS CHANNEL
Last Updated: Tuesday, 21 October, 2003, 09:41 GMT 10:41 UK
Tech spending 'to surge in 2004'
SoundVu technology built into computers by Japanese electronics giant NEC
Gartner predicts increased technology spending to 2006
Technology spending will pick up in 2004 after the protracted slump in the wake of the crash, leading consultancy Gartner has forecast.

"2004 will be the year that companies make the turn from protecting profitability to driving growth," said Gartner's chief executive Michael Fleisher.

Connecticut-based Gartner advised 10,000 corporate-technology purchasing-officers to spend on wireless networks, web services and other technologies.

Gartner forecasts global technology spending will grow 5.4% to $2.4 trillion (1.44 trillion) in 2004.

We believe that 2006 will look as different when compared with 2003 as 2003 looks when compared with 1999
Michael Fleisher, Gartner chief executive

Mr Fleisher said new technology changes would also mean increased spending in 2005 and 2006.

Wireless and broadband access and low-demand electrical devices will foster an explosion of new applications and technologies, reshaping where and how people work.

Developing countries

He said: "We believe that 2006 will look as different when compared with 2003 as 2003 looks when compared with 1999.

"What is true of a driving motorcycle is also true of driving a business.

"Close your eyes for 10 seconds and you'll be okay. But, if the road turns, you're dead."

Looking further into the future, he said a quarter of all technology jobs will be centered in low-cost, developing-world countries like India by 2008.

He advised firms to continue to cut costs by switching to lower-cost PC hardware and outsourcing software and services to lower-cost technology suppliers, often based overseas.

Samsung unveils surprise profits
17 Oct 03  |  Business
Technology to make you go 'wow'
14 Oct 03  |  Technology
UK tech firms 'give up on recovery'
08 Oct 03  |  Business

The BBC is not responsible for the content of external internet sites


News Front Page | World | UK | England | Northern Ireland | Scotland | Wales | Politics
Business | Entertainment | Science/Nature | Technology | Health | Education
Have Your Say | Magazine | In Pictures | Week at a Glance | Country Profiles | In Depth | Programmes
Americas Africa Europe Middle East South Asia Asia Pacific