Winners and Losers from the New Rise in Corporate IT Spend

For the first time in a while, the directional trend incorporate IT spending is looking up.  If the Technology sector  is going to continue to lead the market, this will be very important.  JPMorgan’s tech analysts, led by Mark Moskowitz, surveyed 100 CIOs at large corporations, and Arik Hesseldahl printed the results at All Things D late last week…

The firm finds that, on average, CIOs say they’re going to boost their IT spending by 2.7 percent this year, up from 2.4 percent in 2011. That may not seem like a big change, but here’s why its important: It’s the first time in a few years that the same survey has detected a directional change in sentiment. CIOs are at long last saying they intend to boost their spending on IT, rather than trimming it back and back and back as they have for the last several years.

Arik relays the following crucial insights from the survey:

* Windows 8 will not spark a big PC-buying wave, 78% of CIOs said they will not buy new PCs to upgrade.

* Intel’s new Romley chip will not mean much in terms of new server sales, according to 91% of the CIOs.

* BYOD (Bring Your Own Device) is the real thing – corporate-issued BlackBerries are so over, now its all about making the apps and software work with your employees’ existing iPhone and iPad and Android devices (winner is $AAPL)

* Storage and server virtualization/optimization still hot – winners said to be $EMC, $NTAP and $VMW.

Increased tech spend in certain areas is one of the few themes that most participants seem to agree on, hence the market-leading performance of the group.  It’s nice to hear the CIOs who purchase all this stuff back that up.


Finally! Things Are Looking Up for IT Spending, Survey Finds. (All Things D)