Gartner: Emerging Economies to Change IT

Ann All

Last month I wrote about remarks from Surjit Chana, VP of marketing for IBM's General Business division, that "India is poised to lead the second wave of IT adoption" and his belief that Indian companies "seem to be more forward-looking than their counterparts in the West and round the world." In addition, a recent IBM survey found Indian companies more bullish about IT investments than their global peers.


Chana isn't the only one who thinks India and other emerging economies will be more willing to spend on IT than their U.S. counterparts for the foreseeable future. ZDNet's Larry Dignan shares similar opinions from Gartner's Peter Sondergaard in a recent post. This willingness to invest could result in "a culturally different approach to IT," said Sondergaard at this week's Gartner IT Symposium in Orlando.


Some other items of note from Gartner's event:


  • Companies are putting off replacing a million servers, 3 percent of the global installed base, this year. That number will grow to 10 percent by 2011. IT Business Edge blogger Art Cole wrote about this recently, mentioning worldwide sales fell for a fourth consecutive quarter, according to IDC. While IDC is expecting a rebound in server sales numbers, Art isn't so sure. He writes: "... the simple fact is that virtualization represents a permanent shift in hardware demands. Improved virtual platforms coupled with high-speed networking and virtual I/O technology could push virtual server ratios to 20:1 soon. Heck, the way some people are talking, there's no reason to think we won't soon see several hundred machines on one physical box."
  • Companies are overloaded on applications. Gartner analyst Andy Kyte said companies need to get rid of the applications they aren't using and maintain better control over their application portfolios. In addition to downsizing their applications, some companies are moving apps to the cloud to simplify management and cut costs, wrote IT Business Edge's Mike Vizard.
  • IT departments should be prepared for increased failure rates, thanks to the old gear that will remain in use throughout 2010. Unlike some other analysts and vendors who are predicting an upturn in IT spending next year, Gartner thinks companies will focus on improving existing applications and processes rather than replacing aging equipment.

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