Tech Chiefs Gear Up To Spend Bigger IT Budgets In 2025
CIODIVE, Tuesday, August 13th, 2024
Despite growing enterprise appetite for technology and talent, cost optimization remains a priority, according to Forrester research.
As tech leaders look ahead to next year, most anticipate IT budgets to increase, according to Forrester. The analyst firm surveyed 2,200 business and technology decision-makers for two August reports.
Nine in 10 respondents expect a bump in IT spending in 2025. Three-quarters of executives anticipate larger budgets for software and technical personnel, driven by growing enterprise appetite for AI capabilities and broader modernization initiatives, the reports found.
Forrester projects tech spend to increase 5.3% year over year in 2024, up from a 4% bump in 2023. But for many organizations, the budget increases will merely keep pace with inflation. 'Global inflation is averaging 5.9% and will force tech executives to strategically reallocate IT budgets,' Forrester VP and Research Director Matthew Guarini said in a recent blog post.