ICT investment in Financial market to provide lucrative momentum for vendors: Ken Research
Ken research announced its recent publication
on “ICT investment trends in financial
markets”. The report
provides a comprehensive on the ICT investment in financial markets. It gives
an in depth analysis on the expected change in ICT budget in the upcoming
years, allocation across core elements of budget and distribution of ICT
investment in areas such as cloud
computing, business intelligence, and network services. The report further
delineates about the distribution of financial market institution’s IT budget,
factors influencing them and their investment priorities. It also gives a
better understanding of financial market institutions' preferred buying
approaches and their Business and IT objectives that they want to achieve through
their IT investment strategies
ICT investment is the acquisition of
equipment and computer software that is used in production for more than one
year. ICT has three components: information technology equipment (computers and
related hardware), communications equipment and software. Recent ICT trends,
such as enterprise mobility, cloud computing, and business analytics has
influenced ICT investment because these improvements and investment in the
technology has optimized the cost structure, supported revenue growth, and
streamlined operations within the enterprises. A company's IT budget is
affected by multiple variables, such as the state of the economy, the type of
industry sector in which it operates and the financial health of the company. ICT spending amongst large enterprises is
expected to see an increase due to the steady recovery of the international
economy and improving investment environment
The ICT spending is expected to remain
stagnant in 2017. The ICT investors allocate their budget across the core areas
of healthcare i.e. hardware, software,
IT services, communications and consulting. In hardware spend, major expense is
on desktop, laptops and server that incur almost equal cost. The rest of the expense
is on Networking, external storage, tablet/ mobile, security applications and
printers. The software budget allocation
is divided between investment on virtualization, productivity and OS. In the upcoming year, the investment on the
cloud and hosting service is projected to see an upward movement, especially
for the email hosting. The spending on the online backup and recovery is
expected to remain flat and expenditure on the web hosting may drop slightly.
Due to the economic slowdown in China, the UK
exit from the European Union and Trump’s coming to power, the world is in state
of political and economic instability.
Thus, this is likely to impact the ICT investment framework a many say
that this uncertainty has compelled them to reconsider their companies’
decision to purchase tech products and services. The IT buyers are less likely
to invest in the products from the countries like Brazil, India and China.
Also, the products from EU and UK are also under the scrutiny. The major
concern of the investors is regarding the storage of data. Some of IT pros are
worried about the difference in the privacy regulation between countries and
how it will affect how and where the
data is stored .
Financial Services are one of the pillars to
the functioning of our economy. However, due to shifting business paradigms of
the newly digitally these industries are most susceptible to disruption.
Coupled with this problem, the growing demand for ICT governance and new
regulatory requirement, it is driving the industry to invest more in ICT.
Financial institutions are also using ICT to design products and services that
will improve their labour productivity and are efficient for their consumers.
Further, the financial markets are moving towards a centralized and highly
digitalized banking system .Thus, these financial institutions are increasingly
turning towards relatively new ICT technology like cloud computing to keep up
with the demand of the internationally connected marketplace. The global IT
spending was expected to reach 500 billion dollar by 2016.
Another important factor that has contributed
to the increased investment in ICT by the financial institutions is the impact
of financial recession of 2008. As the economy is slowly picking up its pace,
the lenders have began to realize the importance of due diligence in
decision-making and hence have began to utilize ICT resources to mitigate and
manage the risk.
Companies
Covered
IBM, Microsoft, Amazon web services, Google,
Cisco, Oracle, Informatica, EMC.
Key
Factors Considered in the Report
Global ICT Industry
Global ICT market Outlook
Global Cloud Computing Trends
Mobile Phone subscribers Worldwide
ICT Market in Financial Sector
IT Investment trends
For more
coverage click on the link below
Related links
Contact Us:
Ken Research
Ankur Gupta, Head Marketing & Communications
Ankur@kenresearch.com
+91-9015378249
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