MORGAN STANLEY: Executives say IT budgets are rising in 2019 and Amazon, Salesforce and Microsoft are set to win large (MSFT, AMZN, CRM)

IT budgets are nonetheless rising, based on a Morgan Stanley survey of chief data officers within the US and Europe. CIOs within the US count on their budgets to develop 5.5% in 2019. That is up from 5.three% in 2018. The large winner will likely be software program, based on the report, the place spending is predicted to develop probably the most. Overlook market volatility — firms proceed to develop their IT finances and their allocations for getting new software program, based on Morgan Stanley. Morgan Stanley talked to 100 chief data officers within the US and Europe for its quarterly survey and located that CIOs count on their IT budgets to develop four.7% in 2019. That development is barely down from 2018, when CIOs anticipated their budgets to develop four.9%. The 2019 decline stems primarily from European CIOs, based on the report.   CIOs within the US really count on to see 2019 budgets develop by 5.5%, which is up from 5.three% in 2018. The large winner, based on the survey, is software program, which CIOs stated will develop 5.2% in 2019. Amazon and Microsoft are the largest gainers of "IT pockets share," based on the survey, since so many firms will spend cash on public cloud companies, the market the place these two firms lead. Salesforce can also be well-positioned to learn from public cloud adoption, based on the report. CIOs count on to extend their spending on IT companies by four% in 2019, up from three.7% in 2018. As well as, 28% of the CIOs surveyed count on to over-spend their budgets with regards to IT companies. Morgan Stanley analyst Keith Weiss wrote that firms like HCL, CTSH, Deloitte, and CAP are well-positioned to win from this spending. ACN was one of many prime 5 firms more than likely to learn from spending on cloud migration, based on the report. Spending in , nevertheless, shouldn't be seeing the identical development. CIOs count on their budgets to develop by simply 2.2% in 2019. When these CIOs had been surveyed final quarter in October 2018, they predicted 2.5% development. US respondents particularly count on their spending to develop by simply 2%, based on the survey. "The downtick is a sign that US-based tax reform and money repatriation had been significant optimistic catalysts final yr with development slowing on the tougher comps," wrote Morgan Stanley's Keith Weiss. SEE ALSO: With China in sharp focus, Morgan Stanley forecasts a tough 2019 for the businesses that make the chips on this planet's smartphones and servers Be a part of the dialog about this story » NOW WATCH: China made a synthetic star that is 6 instances as sizzling because the solar, and it may very well be the way forward for power