CIOs will begin spending on GenAI in 2025, Gartner predicted as it forecast that global IT spending will rise by 9.3% to $5.74tn next year.
Fuelled by AI, spending on datacentre systems will fly up 15.5% to $367.2bn in 2025, Gartner predicted.
Software spending will experience the second highest growth rate, hiking an expected 14% to $1.24tn, with devices spend set to pogo 9.5% to $805.7bn.
IT services spend will advance 9.4% to $1.738tn, with communications services spend set to rise 4.4% to $1.587tn, the analyst said.
“Current spending on generative AI (GenAI) has been predominantly from technology companies building the supply-side infrastructure for GenAI,” said John-David Lovelock, Distinguished VP Analyst at Gartner.
“CIOs will begin to spend on GenAI, beyond proof-of-concept work, starting in 2025. More money will be spent, but the expectations that CIOs have for the capabilities of GenAI will drop.
“The reality of what can be accomplished with current GenAI models, and the state of CIOs’ data will not meet today’s lofty expectations.”
