Hundreds of tech predictions revealed for 2008 through to 2018

Next Y2K is on its way along with wearable cameras

Compass analyst Amy Cravens said in the past there has been a strong parallel between total growth in the economy and growth in IT spending.

"IT budgets are vulnerable. As corporate spending tightens, IT budgets are quickly impacted as they can be easily downsized," she said.

The chief strategist at Compass, Kneko Burney, said the first half of 2008 may prove to be more difficult for infrastructure providers, where customers will hold off on non-essential investments until the second half of this year.

"Additionally, infrastructure vendors, namely the high-end systems vendors, can expect an onslaught of competition from managed services providers," he said.

"There has never been a better time for managed services than now."

There are some areas where growth is likely including outsourcing services which Compass Intelligence identified as the strongest area of spending growth in 2008.

The research firm anticipates an increased growth rate for 2008 at 9.8 per cent.

Mid-sized business will have the greatest spending growth in 2008, increasing 5.9 per cent over 2007.

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