The slowdown in the US economy and the knock-on effect on IT spending has had understandable repercussions for the rest of the world, being as it is the largest market. However, regions outside of the US and Canada have remained relatively immune to the slump so far and most are still showing growth for 2001.
“As the United States remains the largest single portion of the worldwide IT market, the continued impact of a slowing economy will make itself felt on the total worldwide market,” said Stephen Minton, program manager for IDC “However, current forecasts do not point to a worldwide slowdown on the same scale as North America. While there is undoubtedly a decline in the growth of spending in 2001 compared to 2000, this is expected to be less severe in international markets than the U.S. slowdown.”
IDC forecasts that the US market will rebound to a degree by 2002 and that some growth will be evident by this time. Many other nations are too new to the internet and attached technologies to see such a slowdown as they are still in the early stages of growth and investment.
| IT Spending Growth, 2001 |
| Latin America |
11% |
| Eastern Europe |
12% |
| Middle East/Africa |
15% |
| Asia/Pacific |
8% |
| Western Europe |
11% |
| Worldwide |
9% |
Source: IDC
