Forrester Sees Big Slowdown In U.S. IT Spending

Forrester Sees Big Slowdown In U.S. IT Spending

Forrester Research on Tuesday said IT services spending growth in the United States would fall by more than 60% next year, as the nation's recession takes its toll on businesses.


The market researcher said spending would grow by only 1.6% in 2009, down from 4.1% growth this year. Forrester blamed the economic recession, saying there's no question the U.S. gross domestic product is falling.

"The question for the U.S. tech market is no longer whether the U.S. economy is in recession," the report said. "Instead, it is how long and deep the recession will be and how much damage will it do to the tech sector."



Forrester expected the recession to last only until mid-2009, with declines in real GDP of as much as 3.6% on a quarterly basis.