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CDW: IT spending plans relatively stable

Hello kids, time for the latest round of spending data from national computer products reseller CDW! With the stock market bouncing all over the place, how comfortable REALLY are businesses about spending on information technology?

Certainly there is no cause for great celebration … or depths of despair, according to the latest CDW survey. The bimonthly CDW IT Monitor was relatively stable for the end of June, compared with the end of April. For June, the IT Monitor index was 73, up one point from April and unchanged from February.
The monitor index considers two sets of data: the IT Value Monitor, which measures the value of technology in meeting a business’ organization objectives, and the IT Growth Monitor, which tracks future spending intentions.

The index accounts for an online survey of at least 1,000 decision makers from small, midsize and enterprise businesses.

One pretty big sign of optimism relates to midsize businesses. About 64 percent of the surveyed companies in this segment reported that they anticipated budget increases over the next six months. Small businesses, not shockingly, were the least anxious to spend more money. Only 27 percent believed they would pump up IT spending during the six-month time period considered.

Another sign that is good for IT services companies: Many of the companies surveyed will put staffing decisions on hold, meaning there’s a potential to get the foot in the door when it comes to services projects. Only 9 percent of small businesses, as an example, will take on more IT staff over the next half year. Of course, the challenge will lie in convincing projects to go forward in the first place. Now is as good a time as ever to better correlate business growth with the solutions enabled by technology.

Heather Clancy is a business journalist and channel communications strategist with SWOT Management Group. She can be reached at hclancy@swotmg.com.

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