In MENA software will be the highest growth segment in 2022, with a 12.3 per cent increase in spending
Global research firm Gartner released a new report wherein they expect IT spending in the MENA region to reach $173 billion in 2022. Globally IT spending is projected to be 4.5 trillion in 2022, an increase of three per cent from 2021.
In the MENA, the software will witness the highest growth segment in 2022, recording a 12.3 per cent increase in spending from 2021. This will be followed by spending on IT services and data centres. Weak consumer outlook and supply shortages will restrict the expenditure on devices as the region is forecast to decline 5.4 per cent in 2022.
Globally the pace of spending will be slower because of consumer cutbacks in spending on PCs, tablets and printers that will shrink by five per cent.
“Inflation is top of mind for everyone. Central banks worldwide focus on fighting inflation, with overall inflation rates expected to be reduced by the end of 2023. However, the current volatility in both inflation and currency exchange rates is not expected to deter CIOs’ investment plans for 2022,” said John-David Lovelock, distinguished research vice president at Gartner.
As per the report, the global geopolitical situation has made CIOs (Chief Information Officers) change their purchasing preferences from ownership to service, pushing cloud spending to 18.4 per cent in 2021 and is expected to grow to 22.1 per cent in 2022. The demand for cloud services has increased spending on servers which is expected to grow by 16.6 per cent in 2022.
Spending on data centre systems is forecast to experience the most substantial growth of all segments in 2022 at 11.1 per cent. Cloud consulting and implementation and cloud-managed services are expected to grow 17.2 per cent in 2022, from $217 billion in 2021 to $255 billion in 2022, helping to drive the overall IT services segment to 6.2 per cent growth in 2022.
