A recent Gartner survey reveals that Chief Information Officers expect an average cost increase of 8.9% for IT products and services by 2025, amidst growing investments in AI.
In a recent survey conducted by Gartner, many Chief Information Officers (CIOs) anticipate significant price increases for cloud services and other IT products and services by the year 2025. This projection poses challenges for organizations with static budgets, compelling them to make difficult decisions regarding their IT expenditures.
The survey revealed that CIOs expect, on average, an increase of 8.9% in costs for IT products and services. This anticipated rise comes alongside ongoing investments in artificial intelligence (AI), contributing to a projected global increase of 9.8% in IT spending. The findings indicate a trend where rising costs are coupled with an urgent need for businesses to invest in emerging technologies.
Moreover, Gartner's previous forecast predicted an 8.2% increase in global IT spending for 2025. However, the firm's updated projection now estimates a total IT expenditure of approximately $5.62 trillion for the year, in contrast to the projected $5.11 trillion in 2024.
This data underscores the evolving landscape of IT expenditure amidst rising costs and the increasing importance of automation and AI solutions in business practices. The ongoing adjustments in financial allocations highlight the necessity for businesses to navigate these changes effectively, balancing budgetary constraints with the demands of modern technological advancements.
Source: Noah Wire Services
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
8
Notes:
The narrative references a recent survey by Gartner and projects IT spending for 2025, indicating relatively fresh information. However, without a specific date for the survey or publication, it's difficult to assess its absolute freshness.
Quotes check
Score:
0
Notes:
There are no direct quotes in the narrative to verify.
Source reliability
Score:
9
Notes:
The narrative originates from CIO.com, a reputable publication in the technology sector. Gartner is also a well-established and reliable source for IT forecasts.
Plausability check
Score:
9
Notes:
The claims about rising IT costs and increased focus on AI are plausible given current trends in technology and business. The narrative aligns with common challenges faced by organizations in managing IT budgets amidst technological advancements.
Overall assessment
Verdict (FAIL, OPEN, PASS): PASS
Confidence (LOW, MEDIUM, HIGH): HIGH
Summary:
The narrative appears to be based on recent and plausible information from reputable sources. The absence of direct quotes and lack of specific publication dates are minor drawbacks, but overall, the content seems reliable and well-supported.
