21 Nov 2008

Firms will thrive after technology investment, expert says

Business who invest in key technology areas will benefit from higher productivity, as well as from future cost-savings, it has been suggested.

Frank Gens, chief analyst and senior vice president at IDC, has suggested that demand for IT technologies that offer proven cost savings will continue, despite the global economic crisis.

"Any technologies that can save companies money or reduce expenses will continue to thrive," Mr Gens said.

The report suggested five key areas - storage-related software, business intelligence, virtualisation, security and cloud computing - which will continue to experience demand from IT firms.

According to research by Kyocera Mita, some 58 per cent of firms looking to become carbon neutral - which could mean that green IT solutions such as cloud computing and virtualisation might continue to grow in demand.

However, the economic downturn has prompted industry analysts to post sharp cuts in their IT spending projections, InfoWorld noted.