Delhi: Global government IT spending is likely to reach $588.9 billion in 2023, an increase of 6.8 per cent from 2022, a report showed on Monday.
Software will be the highest growing segment in 2023 followed by IT services and internal services, according to Gartner.
“Government organisations are continuing to modernise legacy IT and invest in initiatives that improve access to digital services as constituents increasingly demand experiences that are equivalent to online customer interactions in the private sector,” said Daniel Snyder, Director Analyst at Gartner.
The total experience (TX) framework, which helps agencies manage employee and citizen interactions, is enabling transformation and will remain among the main drivers of IT spending in 2023, he added.
Next year, government IT spending is forecast to increase across all segments except devices, as government end-users extend the useful life of their devices that were acquired at the onset of the pandemic.
“Delivering on these priorities depends on establishing a shared, organization-wide digital vision and integrating that vision into enterprise-level strategies,” said Apeksha Kaushik, Principal Analyst at Gartner.
In alignment to these priorities, investments will increase in cybersecurity, application modernization,Acloud platforms, integration technologies such as artificial intelligence (AI) and machine learning (ML), and business/data analytics tools, Kaushik added.