Software will take the lion's share of the global tech market this year as Forrester predicts overall growth of more than five per cent in 2015.
According to a new Forrester analyst report, the global tech market will see growth of 5.3 per cent in 2015 and 5.9 per cent in 2016.
The projected growth, which can be attributed to technologies that focus on the end customer, will bring the global tech market to US$2.337 trillion in 2015 and US$2.483 trillion in 2016.
Forrester projects that software - the way that companies must differentiate in the age of the customer - will represent $677 billion of total tech budget spending in 2016.
This is a 9.2 per cent increase from 2015.
In contrast, computer equipment will represent only $412 billion of spending in 2016, with modest 5 per cent growth from 2015.
In the Asia Pacific region, India’s economy has recovered from a 2013-2014 slump, with growth projected to rise to over 6 per cent in 2015 and 2016.
China’s economy, despite official concerns, should still expand by around 7 per cent, and Indonesia’s by more than 5 per cent.
South Korea’s economy will pick up steam, reaching 4.1 per cent in 2016, while Australia will continue to expand by 2.5 per cent or more, according to the report.
At the country level, the US will continue to be the major driver of global tech market growth and will set the pace for the rest of the world with rates of 6.3 per cent in 2015 and 6.1 per cent in 2016.
China, India, Israel, and Sweden will join the US in having the fastest growth among the 20 largest tech markets, while continental Europe, Japan, and Russia will continue to lag behind.