Global IT spending is expected to increase by 9% in 2025, driven by AI and cloud expenditures.
Enterprises are cautious about AI implementation due to challenges such as explainability, security, legal risks, fragmented vendor landscape, scarce AI talent, and emerging legal and compliance risks.
Chinese AI startup DeepSeek has introduced a cost-effective AI foundation model, leading to potential improvements in return and adoption of AI.
S&P's IT spending forecast could change depending on the outcome of any tariff fight, and PC sales are expected to increase as companies look to refresh computers and Microsoft ends support for Windows 10.