via Predictions 2009: The year ahead in tech | Australian IT.

EVERYONE in the Australian IT business agrees this year is going to be a grinder.

Business bracing for a rough ride

The year ahead will be tough as the global financial crisis plays out, according to Australian IT’s Predictions 2009 report

All the chief information officers, analysts, influencers and tech vendors interviewed for The Australian IT’s Predictions 2009 special say the year ahead will be tough as the global financial crisis plays out.

Corporate IT budgets are under closer scrutiny than ever, consumers are spending less and money is hard to borrow. There are some lifelines floating about.

Vendors with a solid cost-reduction story willing to back their claims with insurance will get customers’ ears, Dell Australia-New Zealand managing director Joe Kramer says.

Many players are looking to the federal Government to prime the IT market and there should be some joy from that direction.

With the Gershon review of IT spending completed and its recommendations in operation, government coffers will reopen this year after their temporary freeze following the change of government and review last year.

IBM Australia chief Glen Boreham says banks are looking for much cheaper methods of carrying out their once-in-a-generation core banking application replacement projects and could turn to cloud computing.

IDC analyst Tim Dillon says noise is building in the local market around cloud computing but companies will spend more getting to grips with the concept than investing heavily in it.

The PC market will come under pressure, especially from corporates putting off hardware refresh cycles as long as possible, but the market will get a kick from the federal computers for high-school student program, as well as personal tax breaks.