Data from recent surveys shows that the scenarios we’ve been putting forth throughout 2024 continue to be in play. Specifically, we cite three main dynamics affecting the tech spending climate, including: 1) Information technology budgets continue to be constrained as; 2) Generative artificial intelligence is being funded by stealing from other budget buckets; and 3) The return on investment for AI initiatives remains tepid, as expectations for break even continue to be pushed out to the right.
Nonetheless, customers remain highly optimistic about the prospects for AI driving productivity improvements. Moreover, the cloud remains a key ingredient in supporting AI workloads.
In this Breaking Analysis, we update you on the macro spending picture in IT, and we’ll revisit the gen AI impact on that spending with some fresh survey data from Enterprise Technology Research. We’ll also examine customer expectations around cloud workload allocation and specifically look at the cloud and its role in supporting …