IT expenditures seen hitting US$144bn in 2012

- Tuesday, October 25, 2011

IT expenditures seen hitting US$144bn in 2012

IT expenditures in Brazil are expected to reach US$144bn next year, up 10.1% from the US$131bn registered in 2010, according to a study by ICT consultancy Gartner.

Brazil's IT segment as a whole is likely to grow at a rate of more than 9% through 2014.

"Brazil has been less affected by the global financial crisis due to its fiscal discipline, heated internal consumption and diversified exporting market. Besides, the country's organizations embraced the global recession as an opportunity and reached out to technology as a decisive driver," said Gartner senior VP Peter Sondergaard.

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"Brazilian CIOs have the opportunity to become world leaders in IT adoption", he added.

CHALLENGES

Sondergaard called on the country to address some challenges in the upcoming years in order to face this new scenario.

Bandwidth is one of them, as during the next two years broadband will be limited when it comes to data virtualization and cloud computing deployment in the country.

Another is Brazil's preparation for major events. The country needs to enhance the pace of ICT infrastructure deployment in time for the 2014 World Cup and 2016 Olympic Games, Sondergaard said.

"We did a case study of the South African World Cup. And there was a very slow ramp-up concerning IT infra. Only 1.5 years prior to the event they really started implementing everything," the executive said, adding that such a last-minute rush led to some deficiencies, besides increasing the event's overall cost.

According to Sondergaard, Brazil could do differently. "Brazil's government needs to step up these investments, and so does the private sector."