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IT Spending Expected to Rebound in 2021

US companies slashed IT budgets in response to the economic fallout from the Covid-19 pandemic. But the outlook has improved this year.

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IT Spending Expected to Rebound in 2021
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The IT spending picture looks much brighter in 2021 for US companies, according to a recent Bain & Company survey of a cross section of IT decision makers. Last year, the Covid-19 pandemic and subsequent economic shock led companies of all sizes to cut their IT budgets, in many cases by up to 20%. Now, things appear to have stabilized. Most companies surveyed said they plan to increase or at least maintain their technology spending in 2021, compared with 2020 levels. Only a third of large and medium-size companies plan to cut their IT spending this year, and no small companies surveyed plan to do so.

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