A new release of Analysys Mason's SMB Technology Forecaster predicts that IT spending will increase to $1.4 trillion in 2022. The forecast reveals that SMBs' spending priorities include IT solutions that support efficiency, resiliency and business continuity.

Commenting on the forecast, Bob Takacs, Research Director and SMB IT practice leader at Analysys Mason explained: "Our latest forecast reveals the shift in SMBs' behavior and priorities since the pandemic. We see increased investments in categories driving resiliency and efficiency. This includes categories such as managed services, infrastructure and cyber security."

The forecast predicts that IT spending by SMBs will grow at a compound annual growth rate (CAGR) of 7.5% between 2022 and 2027. Cloud-based services will drive this growth because they support a distributed workforce, improve efficiency and provide business resiliency. SMB IT spending on cloud-based categories is expected to grow from USD 600 billion in 2022 to USD 1.0 trillion in 2027.

Takacs continues: "This is an important release because we accounted for the impact of three critical drivers including SMB's changing behaviors post-pandemic, macroeconomic headwinds and the global political unrest. Given these impacts to the ecosystem, this release will be an essential tool for business leaders to help them to drive and protect their SMB revenue."

Analysys Mason says that there are three primary categories that account for almost half of all spending, including managed services, infrastructure and cybersecurity. In addition, we will continue to see hybrid working influence IT spending.

The SMB Technology Forecaster helps IT vendors and operators to pinpoint areas for revenue growth. It provides granular insights into SMB IT spending, split by technology category, country, business size, industry vertical and sales channel.