IT spending gathers steam

IT buyer confidence continues to grow, according to Goldman Sachs, which recently surveyed 100 CIOs who say IT budgets will increase as they look to buy more equipment and software.

Goldman Sachs says that while numbers appear small (CIOs surveyed expect to spend 2.4% more in coming months) the continued and steady growth is a positive sign.

"For the first time in six months, IT managers are predicting a leveraged tech recovery in which tech capital spending budgets, or spending on new equipment and software, could grow faster than the overall IT budget, which includes staffing costs, services and depreciation," the report states.

Fifty-five of the 100 CIOs surveyed now expect to increase tech capital spending this year, "with the biggest shift occurring among users planning to lift budgets 10% or more," the survey says. Since February, when only 11% planned an increase, Goldman Sachs now says 16% of the Global 1000 CIOs surveyed will increase spending.

Software priorities remained the same for IT buyers, with security software and hardware topping users' lists. Interest in Linux-based servers and notebooks declined a bit, but Goldman Sachs says the interest will return in coming months.