However, Lovelock pointed out that not all sectors within the IT industry will witness this budget flush evenly. While software and services are experiencing varying degrees of recovery, devices and data centre systems are thriving. Specific segments within industry software are particularly sensitive to changes in policies and market dynamics.
Table 1. Worldwide IT Spending Forecast (Millions of US Dollars)
- Data Centre Systems: $582,446M – 19.0% growth in 2026
- Devices: $836,275M – 6.8% growth in 2026
- Software: $1,433,037M – 15.2% growth in 2026
- IT Services: $1,869,269M – 8.7% growth in 2026
- Communications Services: $1,363,058M – 4.5% growth in 2026
AI is a primary driver behind this growth. The robustness of mobile phone and PC shipments supports strong performance in the devices market. As Lovelock remarks, “This growth in 2025 is mainly driven by stronger-than-expected spending on mobile phones.” The availability of AI devices even spurred over $30 billion in additional spending. Despite slowing growth for 2026, demand for devices remains strong.
Data centre systems, meanwhile, experience growth from the surge to build AI infrastructure, focusing on AI-optimized server racks. Supply constraints, however, curb rapid expansion.
Gartner’s forecasting method includes the scrutiny of sales from over a thousand vendors, covering the IT spectrum. Primary and secondary research bolster its thorough analysis in building a market database upon which forecasts are based. Quarterly reports provide unique insights into IT spending across segments, assisting Gartner clients in comprehending market dynamics. Access to the latest research is available in the Gartner Market Databook, 3Q25 Update.
