Data from Buyshares.co.uk shows that global spending on enterprise software will reach $426 billion in 2020, a first drop in ten years
The report has attributed the drop to the Coronavirus pandemic.
Spending on enterprise software worldwide reached an all-time high of $458 billion in 2019, meaning that year-on-year, investment in this area dropped by almost 7%.
Between 2009 and 2020, global spending on enterprise software cumulatively adds up to $3.94 trillion.
The recently ended upwards trajectory in spending, according to Buyshares.co.uk research, began with the lowest figure for the sector on record of $225.51 billion in 2009, but the study states that the Coronavirus pandemic put a halt to growth globally.
“The Coronavirus crisis has forced many sectors of the economy to prioritise important aspects of their operations, explaining the drop in enterprise software spending,” said the report.
“Many businesses in the IT sector are keen on implementing measures that can keep their entities running during this pandemic. This strategy is replicated across the various business for 2020.”
Among the most significant increases year-on-year occurred between 2017 and 2018, a jump of 13.55% from $369 billion to $419 billion.
Between 2014 and 2015, spending remained stagnant at $310 billion, before growing to $326 billion in 2016.
How to design software for remote working