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IT Spending in Slovenia Down in 2011

Ljubljana, 03 September (STA) - A total of US$ 932m was spent on IT equipment and services in Slovenia in 2011, which is 2% more than the year before in dollars but 2.4% less in euros, the Ljubljana branch of the International Data Corporation (IDC) said Monday.

While expenditure on IT services and hardware fell, more was spent on software, the IDC noted.

According to Darja Jama Tomšič of the IDC, the Slovenian IT market faced a number of challenges last year, as IT funds shrank with the decreasing financial capacity of companies and public sector spending practically froze, while users continued to put pressure on prices.

Slovenia's per capita IT spending was up to US$ 451 from US$ 426 in 2010, which puts the country far behind Denmark's US$ 2,197 or Sweden's US$ 1,982, but still much higher than several other countries of Central and Eastern Europe, like Poland (US$ 268), Bulgaria (US$ 151) or Romania (US$ 145).

Slovenia accounted for 24% of the total IT spending in the eight countries of the Adriatic region (27.5% in 2010), where the average expenditure for IT per capita stood at US$ 146.

Based on Slovenia's declining GDP and continued economic uncertainty, the IDC forecasts a minor drop in IT spending for this year, but average growth of 1.7% over the next five years, which means expenditure would exceed US$ 1bn in 2016.

Despite the negative trend, the IDC pointed out that Slovenia followed global IT trends and the changes in the role of IT in companies and organisations.

This year, the IT spending is expected to focus on solutions lowering costs and allowing better monitoring. On the other hand, IT service providers are increasingly dependent on niches and vertical specialisation.

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