U.S. Tech Spending to Tank in 2009

Oh boy…this can’t be good. But we saw this coming, right? (Note: the bolded emphasis is mine.)

Forrester today lowered its forecast for US business and government purchases of IT goods and services in 2009 – they will decrease by 3.1 percent this year, compared with the 1.6 percent annual increase we previously projected. We expect that all sectors of the tech economy will decline, except outsourcing.

With the US economy in Q4 2008 dropping at an annual rate of 6.3 percent and most professional economic forecasters reducing their predictions for 2009 US real GDP growth, Forrester revised the forecast for technology spending in the US to reflect these changes. We expect growth in IT investment will resume in Q4 2009 and gather strength in 2010.