Cloud computing, mobile demands drive up IT spending

Servers, storage, and security sales continue to rise as companies loosen their purse strings

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Mobile and malware give content security a boost
In the security arena, vendors saw demand for content-security gates wares rise in 2010 -- at least partially fueled by massive mobile deployments, according to Infonetics.. "The proliferation of smartphones, iPads, netbooks, and other mobile devices is driving purchases of gateway security solutions as companies seek to protect from malware the critical infrastructure in their headquarters, branch offices, remote offices, and data centers," the company reports

Security threats such as Stuxnet and Zeus also helped drive purchases of content-security products. All told, the worldwide content security gateway market grew 10 percent from 2Q10 to Q310, hitting $715.2 million, according to Infonetics. Overall content security gateway revenue increased by 25 percent year over year, with the appliance segment performing especially well with revenue up 35 percent.

Among the vendors in the space, McAfee boasted the most content-security gateway revenue for the quarter, followed by Blue Coat, then Cisco.

Sales of network security appliances and software weren't quite so hot, down 0.1 percent. Cisco lost some ground to Juniper and Check Point in this space. Juniper, in fact, now holds a substantial lead in the category of integrated security appliances costing $30,000 or more. The company also posted its biggest quarter to date in SSL VPNs.

Transformative technologies to seed 2011 spending
Looking ahead to 2011, IDC predicts that IT spending will increase by 5.7 percent over 2010 to hit a total of $1.6 trillion as game-changing technologies such as mobile computing, cloud computing, and social platforms take hold. "In 2011, we expect to see these transformative technologies make the critical transition from early adopter status to early mainstream adoption," said Frank Gens, senior vice president and chief analyst at IDC. "As a result, we'll see the IT industry revolving more and more around the build-out and adoption of this next dominant platform, characterized by mobility, cloud-based application and service delivery, and value-generating overlays of social business and pervasive analytics."

Among the biggest winners will be vendors of public IT cloud services: Said services will grow by more than five times the rate of the IT industry next year, up 30 percent from 2010, as organizations move a wide range of their business applications into the cloud.

The mobile-computing market will continue to boom as well in 2011. Shipments of app-capable mobile devices such as smartphones and tablets will surpass PC shipments within the next 18 months, IDC predicts. Further, mobile app downloads will surge from 10 billion in 2010 to 25 billion in 2011.

Finally, social business software -- which has enjoyed increasing adoption in the enterprise over the past 18 months -- will see a compound annual growth rate of 38 percent through 2014, IDC predicts.

This article, "Cloud computing, mobile demands drive up IT spending," was originally published at Get the first word on what the important tech news really means with the InfoWorld Tech Watch blog.

Copyright © 2010 IDG Communications, Inc.

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