Dan’s Biz Bookshelf: ‘Citizen Marketers: When People Are the Message’
It’s Only Common Sense: What To Do When They Won’t Answer the Phone
The Right Approach: ‘Twas the Night Before Christmas (Harley-style)
Gartner Forecasts IT Spending in Europe to Grow 8.7% in 2025
November 7, 2024 | Gartner, Inc.Estimated reading time: 2 minutes
IT spending in Europe is projected to total $1.28 trillion in 2025, an increase of 8.7% from 2024, according to the latest forecast by Gartner, Inc. IT spending in Europe is on pace to reach $1.18 trillion by the end of 2024.
“In 2024, the surge of building out AI-related infrastructure by technology providers is driving high levels of spending on data center systems in Europe,” said John-David Lovelock, Distinguished VP Analyst at Gartner. “CIOs in Europe will continue investing in public cloud end-user spending, which is estimated to reach $123 billion in 2024, and grow their security spending, projected to reach $47 billion in 2024.”
Gartner analysts are exploring IT spending priorities for IT leaders and CIOs during Gartner IT Symposium/Xpo, taking place here through today.
Spending Priorities in 2025
European businesses that have recognized IT’s value during the pandemic are set to significantly boost IT spending in 2025 to stay competitive and grow revenue. Aided by a surging interest for generative AI (GenAI) solutions, CIOs in Europe will drive their IT budgets into an era of high growth and innovation. 2025 is poised to set a record as the highest growth rate in IT spending in a single year in Europe since the post-pandemic surge in 2021.
“The limited success of many pilots and proofs of concept (POCs) in 2024, will push European organizations to shift from building their own GenAI solutions to buying and implementing partner solutions in 2025,” said Lovelock.
Gartner estimates spending on IT services related to AI in Europe will grow from $78 billion in 2024 to $94 billion in 2025.
Data Center Trends in Europe
End-user spending on servers in Europe is estimated to grow 25% in 2024 due to increased demand for AI-optimized servers. Spending on servers will continue to grow in 2025 but at a slower pace (11%). “Europe has seen a remarkable 46% increase in server spending by technology providers in 2024. In 2025, technology companies will continue building out the infrastructure needed for training GenAI models today and inferencing them in the future,” said Lovelock.
Gartner’s IT spending forecast methodology relies heavily on rigorous analysis of the sales by over a thousand vendors across the entire range of IT products and services. Gartner uses primary research techniques, complemented by secondary research sources, to build a comprehensive database of market size data on which to base its forecast.
The Gartner quarterly IT spending forecast delivers a unique perspective on IT spending across the hardware, software, IT services and telecommunications segments. These reports help Gartner clients understand market opportunities and challenges. The most recent IT spending forecast research is available to Gartner clients in “Gartner Market Databook, 3Q24 Update.”
Share on:
Suggested Items
The Path Ahead: SMT007 Magazine—January 2025
01/02/2025 | I-Connect007 Editorial TeamJanuary is a traditional time to mark changes in our lives. A new year can signal new beginnings. But change is constant. So, as we flip over the calendar into 2025, we look at what’s ahead for the EMS supplier industry. What are your concerns and challenges? What trends are emerging? What can we expect from a new administration?
Laser Photonics and Fonon Technologies Deliver Training at Pearl Harbor Naval Shipyard & IMF for Effective Use of Laser Technology
01/02/2025 | BUSINESS WIRELaser Photonics Corporation (LPC), a leading global developer of industrial laser systems for cleaning and other material processing applications, in partnership with its sister company Fonon Technologies, announced the completion of training on the safe and optimal use of a DefenseTech laser system earlier purchased by the Pearl Harbor Naval Shipyard and Intermediate Maintenance Facility (PHNSY & IMF).
IPC Announces UK Regional Qualification for Hand Soldering Competition
01/02/2025 | IPCIPC invites skilled soldering experts to participate in the UK Regional Qualification for the IPC Hand Soldering Competition (HSC) on February 4-6, 2025, at the Farnborough International Exhibition Centre.
TRI to Exhibit Advanced Test and Inspection at IPC APEX Expo 2025
01/01/2025 | TRITest Research, Inc. (TRI) will join the IPC APEX EXPO 2025 held at Anaheim Convention Center on March 18 – 20, 2025. Visit TRI at booth #2905 to experience TRI's latest test and inspection solutions for the electronics manufacturing Industry.
Happy New Year From I-Connect007
01/01/2025 | Nolan Johnson, I-Connect007As I-Connect007 observes the New Year’s Day holiday, we also wish you and yours a prosperous new year. We will be back covering the news of the industry tomorrow, January 2, 2025, according to the Gregorian calendar.