IT Industry Confidence Continues to Strengthen

The CompTIA IT Industry Business Confidence Index, which surveys a cross section of the IT industry from vendors to VARs, found that 48% of companies in the study expect to increase investments in research and development and other new revenue generating initiatives, while nearly one-third expect to increase spending on technology.

The index increased 3.3 points in August to 52.3 (0-100 scale). The Index, an aggregation of three confidence measures, is based on the collective opinions of 200 technology companies. “The data suggests that companies have begun to reset expectations with an eye towards an improved economic landscape,” explained Tim Herbert, CompTIA vice president of market research, in a statement.

Additionally, staffing levels may start to see some improvement as IT firms anticipate renewed demand for their products. Fifty-three percent (53%) of IT companies in the study expect to hold staffing levels constant, while 29% expect to increase hiring over the next six months.

Looking ahead, the confidence is expected to continue its upward trend. Sixty-seven percent (67%) of firms rate the outlook for the IT industry positively, compared to 55% today. Despite cautious optimism, the survey reveals a number of concerns among IT companies, most notably the concern over the possibility of weak demand by certain segments of consumers and corporations.

About the Survey

CompTIA’s IT Industry Business Confidence survey is conducted among a sample of more than 200 US-based IT companies, ranging from IT solution providers, VARs, hardware/software firms and others. The most recent iteration of the survey was fielded via an online survey form during the last week of August 2009. The full report is available at no cost to CompTIA members.