Perhaps even a decade ago, if one had suggested IT as essential infrastructure for a company�s business, the suggestion would have invited derision. Not so, any longer although, spending on IT globally is likely to remain flat this year, as some reports suggest.
p____p However, I sense optimism in the market, especially among solutions providers who say that there are more queries coming their way in the past few months.
p____p There is buoyancy in certain solution segments. WAN, CAN (campus area network), VoIP solutions, storage and security solutions are some of the segments that are looking up as there is renewed interest from the finance & banking sectors, telecom, manufacturing, call centers and software companies. I could also add the power solutions segment to this list.
p____p If you look at each one of them, every solution looks a crucial part of the IT infrastructure. When I asked Sandeep Nair, the MD of Emerson Network Power as to how he expected customers to prioritize spending on power and air solutions (precision air conditioning), he said as a matter of fact that fortunately for his company, the solutions that they offer are quite critical. Without either of them, companies would be risking downtime, which will affect business. When I spoke to a solution provider, he too said that storage and security are critical areas for a client.
p____p So if all these segments are critical, how come companies that are competitive and want to remain competitive afford not investing in these areas? If companies are resisting new investments in their IT infrastructure, trying to push the inevitable to the furthest extent, then there is the danger, that they are not securing their business against breakdowns and losses. Without timely investments, companies could be living dangerously like a leaning tower. One never knows, when it could fall.
p____p Companies should come around eventually to the understanding that investing in networks, connectivity solutions, storage and security will definitely pay off in the longer run. It is essential because it gives them a competitive edge besides securing their business processes. The challenge for vendors and partners is to get that message into the market.