Australian IT spending pegged to grow 4.1% in 2021


By Dylan Bushell-Embling
Friday, 09 April, 2021

Australian IT spending pegged to grow 4.1% in 2021

Australian technology spending is on track to grow 4.1% this year to $98.3 billion, bouncing back from a 1.1% decline last year, according to Gartner.

The research firm expects IT spending for the year to exceed pre-pandemic levels as companies invest in digital transformation to adapt to the new post-COVID normal.

Devices will be the fastest growing category, Gartner said, with total spending on track to grow 9% to $15.14 billion. This will be followed by enterprise software spending, which is expected to grow 7.3% to $19.62 billion.

But all categories are expected to increase, with IT services spending set to grow 2.7% to $34.71 billion, remaining the largest segment of the market. Communications services spending is anticipated to grow 1.3% to $25.71 billion, with data centre systems spending tracking to grow 0.4% to $3.06 billion.

By 2022, enterprise software is expected to take over as the fastest growing category, with Gartner projecting a further 10.1% growth. This will be followed by IT services (4.9%), data centre systems (3%), devices (2.2%) and communications services (1.7%).

“Last year, IT spending [in Australia] took the form of a knee-jerk reaction to enable a remote workforce in a matter of weeks,” Gartner Distinguished Research Vice President John-David Lovelock commented.

“As hybrid work takes hold, CIOs will focus on spending that enables innovation, not just task completion.”

Image credit: ©stock.adobe.com/au/Shawn

Related News

HCLTech, OpenAI enter strategic services partnership

IT consultancy HCLTech has become one of OpenAI's first strategic services partners.

Tech Council and techUK sign partnership agreement

The Tech Council of Australia and techUK have formally signed an MOU to build a joint focus on...

CommScope launches edge fibre offering

CommScope has launched a new line of fibre infrastructure products aimed at helping enterprise...


  • All content Copyright © 2025 Westwick-Farrow Pty Ltd