Blog

Is the global phase of uncertainty over yet? Is our industry back on track and sailing ahead on even keel? What’s in store for us this year? Let’s take a quick look. When we look forward, we must look back too. What did we face in 2021, as organisations, as leaders, as laymen?
Remote work, supply chain headaches along with the confusion of open-close – partial closure, lean teams and more were stressful to all concerned. Redundance, relocation and attrition were also some of the unpleasant scenes we have witnessed this past year. And although we now speak of better times to come and ease of living to return in the future, it does look as if uncertainty is still in the air, even in 2022.
We have seen volatility at its peak. To quote Monika Sinha, research vice president at Gartner, “Volatility is something that we clearly saw this year but it’s something that is going to be an ongoing theme; Volatility is something that is now a new normal.” How many of us have been forced to adapt to these volatile changes necessitated by a pandemic of unforeseen magnitude? How many faltered, how many survived and how many are now gearing up to thrive?

There’s one thing that stands out loud and clear, in all this; this is not just the dawn of a new digital era, but one that was waiting to happen for a while now. Unfortunately, it took a crisis to leap-frog us all into a future that was already fast closing in. In this new scheme of things, with new technologies and more digital work environments than ever before, rapid adaptation for enterprises of any size will continue to be critical. To quote Gartner again, research this year showed that technology investments are going way up. “In fact, technology investments are going to be at the highest they’ve been over the last decade.”

This does sound like music to the ears of technology solutions providers as we look forward to 2022. The future is here, and the future is us. If we need to play to win, it is important to deliberate on the trends that are being forecast by analysts and research studies.

And here are some highlights:

• Gartner Forecasts Worldwide IT Spending to Grow 5.1% in 2022
According to Gartner’s latest forecast, worldwide IT spending is projected to total $4.5 trillion in 2022, an increase of 5.5% from 2021, and the largest year-over-year jump in more than 10 years.

• Enterprise software
• Overall, enterprise software is projected to have the highest growth rate in 2022, at 11.5%, going from an estimated $601 billion in 2021 to $670 billion in 2022.

• IT services
• IT services are quickly becoming one of the most critical assets for organizations to spend money on. Increasing 8.6% to $1.29 trillion in 2022.

• Data centre systems
• In 2022, Gartner predicts that spending on data centre systems will hit $207 billion, representing a 5.8% year-over-year increase.

• Devices
• As remote learning, telehealth, and remote work took precedence, global spending on devices reached record levels in 2021 at over $800 billion. Although some of these might not be required in the months to come, Gartner still predicts there will be an increase in enterprise devices that need to be upgraded or invested in for hybrid work settings.

• Communication services
• Communication services will see the slowest overall growth rate for 2022 compared to 2021, but it still sits at the number one spot for the largest total spending levels next year at $1.48 trillion.

The recent global crises and yet to end pandemic have pushed all businesses, enterprises, and even vital service establishments like educational and healthcare institutions out of comfort zone. Necessity is not just the mother of invention; its is the mother of creativity, design thinking, innovation, and a spirit of adventure. What was once the subject of fiction and fantasy are reality today. Remote work from anywhere, the Internet of Things, Cloud and Connected devices, IT communications software and services are already household vocabulary. This situation will grow rapidly and become pivotal in the coming year and beyond.
Watch this space for views from practice leaders on similar studies and insights.