This year may see an end to the technology downturn, according to analyst firm Forrester, but the reality for many IT departments will be continued cost cutting, delayed projects and reduced budgets, according to new research from the National Computing Centre (NCC).
The NCC Evaluation Centre interviewed over 100 companies about their IT infrastructure plans for 2010. A third expect a further decrease in IT budgets this year, while only 13 per cent anticipate an increase.
Many companies appear to be delaying infrastructure investments as a result, the survey found. Some 38 per cent are postponing hardware upgrades, a third are putting software refreshes on hold and 29 per cent plan to delay network infrastructure upgrades.
"The pressure will be on IT departments for some time to be prudent and save costs wherever possible while still trying to enhance service delivery," said Steve Fox, NCC Evaluation Centre managing director.
"This makes it even more imperative for IT vendors to demonstrate value for money and show rapid return on investment for their solutions."
Virtualisation, meanwhile, continues to grow in importance in the industry, driven by the need for lower cost, greener technologies, according to NCC. Over half of respondents see server virtualisation technology as playing a 'very important' role in their IT environment.
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