Companies Pinpoint IT as a Means to Align Themselves With Shifting Consumer Trends

FinancialBuzz.com News Commentary

NEW YORK, March 22, 2019 /PRNewswire/ -- Shifting consumer trends mean that information technology (IT) must continue to evolve and adapt. These changing trends cause many businesses to adapt, which is why so many are investing in IT services. IT refers to the study, design and development of computer systems and networks which are used to obtain, process, and distribute data. These services are integrated into many sectors like finance, retail, telecommunications, along with many others. Within those companies, IT connects and ensures functionality between various departments like finance, human resources, manufacturing, and security-related purposes. Furthermore, the communications services segment is also expected to account for the largest share of the market, as consumers are expected to spend approximately USD 1.39 Trillion in the segment. On the other hand, the enterprise software segment is expected to witness the largest growth in 2019. The segment's spending increased by 10.4% in 2017 and is projected to see an 8.3% growth in 2019. Other segments within the IT market, such as data center systems, devices, and IT services, are all expected to contribute to the overall growth of the market. According to data compiled by Gartner, Inc., the global information technology spending is projected to reach USD 3.8 Trillion in 2019, increasing 3.2% from 2018. Nerds On Site Inc. (OTC: NOSUF) (CSE: NERD), WidePoint Corporation (NYSE: WYY), Premier Health Group Inc. (OTC: PHGRF) (CSE: PHGI), AirMedia Group Inc. (NASDAQ: AMCN), Glowpoint, Inc. (NYSE: GLOW)

Despite communications services accounting for the largest share of the IT marketplace, IT services are expected to be in focus for 2019. IT services are also projected to be a key driver, as the segment is expected to reach almost USD 1 Trillion, increasing by 4.7% year-over-year. Gartner said in its report that 46% of organizations indicated that IT services and supplier consolidation were in their top three most-effective-cost-optimization approaches. "While currency volatility and the potential for trade wars are still playing a part in the outlook for IT spending, it is the shift from ownership to service that is sending ripples through every segment of the forecast," said John-David Lovelock, Research Vice President at Gartner. "What this signals, for example, is more enterprise use of cloud services — instead of buying their own servers, they are turning to the cloud. As enterprises continue their digital transformation efforts, shifting to 'pay for use' will continue. This sets enterprises up to deal with the sustained and rapid change that underscores digital business."