In the ever-evolving realm of technology, it is necessary for businesses to understand the recent technologies in shaping the future of businesses and organisations has never been more pronounced. In this fast-paced digital landscape, IT decision-makers hold the keys to harnessing the power of innovation, adaptation, and strategic investment, writes Yash Mehta.
Based on a comprehensive survey of 742 senior IT leaders conducted in the 2023 Technology Spending Intentions Survey, IT spending is clearly shifting. An impressive 52% of midmarket and enterprise organisations are poised to increase their IT spending in the coming year. This statistic serves as a testament to the dynamic nature of the tech industry and the imperative for decision-makers to anticipate, plan, and navigate the forthcoming trends and challenges.
This article delves into the crucial IT spending trends that every tech decision-maker needs to be well-acquainted with as we approach 2024.
So, let’s explore the trends and strategies that will define IT spending in 2024 and beyond.
Rising Investments in Data Products
As businesses witness the ever-evolving landscape of data management and governance, the Data management and governance is one noticeable trend on the horizon is the significant surge in investments in data products. Data recognition as a strategic asset has prompted organisations across various industries to allocate substantial resources towards harnessing its full potential. Some of the key factors that emphasise increasing investments in data products are the necessity to comply with data security standards, scalability of business, improve customer experience, etc.
Data Product solutions help in optimising data and modernising data management. One such Synthetic Data Generation solution I have tried is called K2view. It offers a comprehensive solution for creating synthetic data (both structured and unstructured) to meet the diverse needs of organisations across various industries. The tool leverages a combination of cutting-edge techniques and intelligent data management to generate accurate, compliant, and realistic synthetic data.
Synthetic data generation finds its use case in Software Testing and Machine Learning Model Training. These use cases include Generative AI Pre-trained Transformer (GPT), Generative Adversarial Networks (GANs), and Variational Auto-Encoders (VAEs) to create synthetic datasets; The Rule Engine technique allows users to define and implement business policies to generate data intelligently. Entity Cloning is an entity-based approach that extracts data for specific business entities (e.g., customers, loans) from various data sources, applies masking and cloning techniques on the fly, and generates unique identifiers for each cloned entity. Data masking mimics real-time data by retaining the statistical properties and characteristics of the original production data while protecting sensitive information.
AI and Automation Data Revolution
Data is akin to the fabled pandora’s box, holding the potential to unlock invaluable insights into consumer behaviour, competitor strategies, and upcoming challenges and needs. It is estimated that by 2025, 463 exabytes of unstructured data will be created each day globally. Today, enterprises efficiently handle this unprecedented data deluge using Artificial Intelligence (AI). AI, an encompassing umbrella of advanced technologies including machine learning, automation, and natural language processing, among others have the ability to extract genuine business value from data, ultimately aiding in making more informed decisions.
Skyvia is a good case study to understand this better. The solution implements advanced automation to perform data migration in the cloud and eliminate repetitive manual tasks. The automation engine easily integrates and streamlines various transformation processes by pulling data from multiple sources, such as on-premise databases, cloud apps, and CSV files. This includes automated cleaning, filtering and enrichment that ensures qualitative data.
The in-the-cloud integration tool also facilitates the automation of workflows through connectors such as generating reports, emails, notifications and others. It is suitable for large datasets and diverse data operations and enables pre-built components for easier drag and drop on a visual interface.
This AI-powered data analytics revolutionises the landscape by optimising internal business operations, tailoring product features to meet specific demands, conducting precise market research, and enhancing sales through personalised marketing efforts. This AI-driven data Analytics helps to optimise internal business operations, customise product features, get relevant market research with accuracy and even optimise sales by pushing personalised marketing to customers.
The automation in Data management includes automating the conventional manual processes of collating and managing data and making complete data accessible to data teams. This not only reduces human error and puts focus on more complex and strategic aspects of the team. 63% of marketing leaders plan to invest in generative AI in the next 24 months according to a survey from Gartner, Inc. Slightly more than half of respondents (56%) see greater reward than risk in generative AI.
Sustainable Business Solutions
Businesses operating under a sustainable business model are attractive to all stakeholders, from investors and employees to customers. Almost every industry is tapping on sustainable approaches, be it adopting digital documentation to reduce the consumption of paper or opting for remote work solutions that can reduce the need for employees to commute to the office, thereby cutting down on carbon emissions associated with transportation are under the umbrella of sustainable business operation plan. Sustainable technology solutions such as Industrial IoT assist in building a sustainable supply chain business asset, which can be used to keep in check the environmental and social impact of business workflow and eliminate redundancies According to a survey by Deloitte reveals that new generation consumer groups i.e., millennials and gen z, are inclining towards sustainable brands, and are increasingly willing to pay more to do so. The focus on sustainability has increased with multiple bilateral and global agreements, the capital market shows an influx of funds, and lucrative incentives from government authorities for taking a sustainable approach in business models across industries. The advantages of adopting sustainability practises in both the short and long term are substantial, with many asserting that it is imperative for a company’s survival. Government incentives and evolving consumer preferences are aligned to businesses prioritising sustainability initiatives.
Cybersecurity
The onset of remote work during the pandemic, initially seen as a fortuitous development, has since evolved into a sustainable business model for many organisations. However, this transition to remote work has increased the vulnerability of sensitive data and the expanded risk landscape businesses now face. Consequently, as more businesses embrace remote work environments, the demand for cybersecurity services that transcend traditional office boundaries has surged. These services are essential for safeguarding against potential cybersecurity threats, which can compromise customer data and pose significant risks, particularly in sectors like finance and healthcare.
Investing in robust cybersecurity services is imperative for organisations aiming to meet these evolving requirements. Such investments fortify their IT infrastructure and address vulnerabilities that could lead to data breaches. Alarmingly, the growth rate in cyberattacks indicates that by 2025, the annual cost of damage from such incidents is projected to reach a staggering $10.5 trillion, marking a 300 per cent increase from 2015 levels.
A recent survey conducted by McKinsey & Company has shed light on a substantial market opportunity worth $2 trillion for cybersecurity technology and service providers. This underscores the pressing need for IT businesses to prioritise cybersecurity as a vital component of their operations to navigate the evolving digital landscape safely and securely.
Smart Business Intelligence
In today’s fast-paced, competitive business world, making informed decisions is paramount for success. Business intelligence (BI) refers to the process of collecting, analysing, and interpreting business data to unlock business potential and at the same time, identify bottlenecks and procedural issues. This allows businesses to quickly and easily streamline their operations. The projected growth of the global Business Intelligence (BI) market, as indicated by the report from Fortune Business Insights, underscores the increasing importance of BI tools in the business world, The global business intelligence market size was valued at $27.11 billion in 2022 & is projected to grow from $29.42 billion in 2023 to $54.27 billion by 2030. Among the smart business intelligence include Connected Cloud, Embedded Analytics, Predictive and Real-time Analytics, etc. The post-COVID-19 era has witnessed a significant shift in the working dynamics of businesses worldwide. Organisations are realigning their strategies by migrating to Cloud BI and analytics platforms to accommodate the demands of remote workforces. Another smart investment on the fusion of AI and Machine Learning (ML) is providing access to BI across organisations. Augmented analytics empowers teams to generate robust data analytics models and effortlessly glean valuable insights. Microsoft Power BI, one of the leading business intelligence platforms, plays a pivotal role in the smart business intelligence landscape, empowering organisations to visualise and analyse data for informed decision-making.
One significant trend is the escalating investments in data products. Data has become a strategic asset, and businesses are allocating substantial resources to harness its potential. The tech landscape is evolving rapidly, and IT decision-makers must adapt proactively. Whether investing in data products, embracing sustainability, fortifying cybersecurity, or leveraging smart business intelligence, staying ahead of the curve is essential for success in 2024 and beyond.
Article by Yash Mehta
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