JOHANNESBURG - IT spending in South Africa will total R303.46 billion in 2019, up 3.9 percent from last year, research and advisory company Gartner said on Wednesday.
While the country is still behind in terms of overall IT spending and continues to have a technology debt to pay off, achieving that expansion will make South Africa one of the fastest-growing countries in the world, ranked fourth globally, Gartner research vice president John-David Lovelock said.
Gartner said although consumer had once been the IT spending highlight in South Africa, driven by adoption of mobile phones, it expected consumer spending on devices such as personal computers (PCs), tablets and mobile phones to decline by 2020 and contract through 2023.
“Saturation in the PC, mobile phone and tablet device markets has limited the number of new buyers. And spending on mobile phone replacements and upgrades won’t be enough to sustain current spending levels,” Lovelock said.
Gartner said spending on devices was projected to total R46 billion in 2019, up three percent from 2018. This growth rate had more than halved, year over year, showing that South Africa had largely moved past the stage of acquiring personal devices.
The research company said software spending in South Africa would reach R32 billion in 2019, an 11.4 percent increase from the previous year.
"Cloud computing is a new reality in South Africa,” said Lovelock. “South African organisations are consuming significant amounts of cloud services, including software as a service, platform as a service and infrastructure as a service."
Gartner said its IT spending forecast methodology relied heavily on rigorous analysis of sales by thousands of vendors across the entire range of IT products and services.
- African News Agency (ANA)