Hong Kong – Technology spending in Asia Pacific is projected to achieve a compounded annual growth rate of 6.4% to 7.4% from 2024 to 2027, reaching US$876b in 2027. This is according to the latest tech market forecast by research services firm Forrester.
In this report, software spending is expected to sustain its rapid growth over the next few years, with IT services, communications equipment, and computer equipment also seeing an increase in investment. The share of software purchases, in this case, will climb from 26.4% in 2024 to 30% of total tech spend in 2027, outpacing the other IT categories due to demand generated by AI and AI-augmented enterprise software and services.
Moreover, the forecast also projects growth in technology spending in 2024, with a particular focus on various countries in Asia Pacific, starting with 4% in Australia, followed by 7.2% in China, 10.8% in India, 5.6% in Singapore, and 8.1% in the rest of Southeast Asia.
Leslie Joseph, principal analyst at Forrester, said, “While challenges such as regulatory environments, global economic conditions, and talent shortages in the region present hurdles, overall, the APAC market is well-positioned for tech growth.”
“As the region continues to grow in importance in the tech world, new opportunities offered by the explosion of AI and the increased demand for cloud can be significant revenue and growth drivers for firms,” explained Leslie.
