What happens if Obama fails with his great dream to rescue the economy, what will it do to the IT industry?
While chatting with industry leaders on a Telepresence call, I was asked a question by a vice chairman of an Asian company. His question was “Larry what would you say the impact will be on the IT Industry if the new president fails with his great dream to save the American economy”? I really had to think about a response but the impact would be huge, right now it is bad enough but with financial institutions failing left and right there is and will be no lending for IT spending. The major giants like Cisco, HP, IBM and other will have all time low stock prices under 2 dollars.
The thinking about everyone having to be a specialist in what they do will change very fast, we will be back to generalist or people who can do three to five things rather than one. Smaller companies how have positioned themselves right will thrive since they can be more agile and charge less for services. They will drive the larger consulting companies out of business and the national catalog companies and system integrators will go by the way side as they cannot charge $150 an hour anymore.
Larger companies who now would never talk to a SMB company will have to in the future; all of the expertise will be in SMB companies like it is now. Many IT executives who have jobs now will be looking for major career changes in the future if Obama fails as this will weed out all of those pretend executives who have jobs now. They will not be able to fake what they don’t know anymore and will be out on the street.
But I think the worst thing that could happen will be the years it will put us behind the Asia and European countries when it comes to IT and Networking. It would set us back ten years and put us in a state in which we might never recover.
What do you think will happen to the American IT Industry if Obama fails with his recovery plan? I say plan for the worst and hope for the best.
