JUL24 Early Takeaways Part II

Highlights from the July 2024 TSIS Preliminary Findings Report

ETR Research 

| July 02, 2024

ETR recently published the July 2024 Early Takeaways, leveraging preliminary data to examine sectors with improving and declining 2024 spending intent, as well as inflections captured at the vendor level. Last week, we rolled out Part I of the report highlights, and this week, we wrapped up with Part II. As of press time, more than 1700 IT decision makers have participated in ETR's July 2024 Technology Spending Intentions Survey (TSIS). Last week, we kicked off the analysis with some sector and vendor level trends of the best-performing areas and companies in tech. This week, we dive into citation growth trends and our first peek into the macro-level spending data.

Citation growth within our survey sample can directly compare competing vendors within a sector. When focusing on year-over-year citation growth among the larger citation companies, Microsoft and OpenAI’s ML / AI offerings both saw strong citation growth rates, as did AWS and Google. Microsoft Teams and Zoom both saw positive citation growth y/y within the Video Conferencing sector, while Snowflake and Databricks did within Database / Data Warehousing.

Conversely, the chart above also depicts some vendor offerings that have captured year-over-year declines in Net Score, including Proofpoint in Information Security, Splunk (Cisco) and Oracle within the Analytics sector, Microsoft Tablet in PC/Tablets, SolarWinds in Infrastructure Software, Salesforce in Cloud Computing, and SAP Concur within the Enterprise Apps sector.

Turning to lower-citation vendors, Akamai saw the largest y/y citation growth of the vendor universe within the Cloud Computing sector, followed by Anthropic (ML / AI) and Plaid (Fintech). Several other Fintech vendors saw notable citation growth, including Stripe, Intuit, Alkami, and Finastra. This is not surprising given the VMware acquisition, but the data also shows a sizeable increase since last year for Broadcom within Networking.

Finally, the Early Takeaways report also provides the first look into ETR's quarterly Macro Views survey, which tracks budget trends, IT priorities, and pricing movements across the technology industry. Here, we look at updated 2024 IT spending growth estimates across several key demographic subsamples within our survey respondent universe. Although not shown, total 2024 IT spend estimates came in at 3.6%, slightly higher than the prior survey at 3.5%, but still lower than the 4.3% expected budget growth recorded in the JAN24 survey. By organizational size, Large organizations showed the largest increase since the prior survey, going from 2.6% to 3.0%, whereas Mid and Small respondents are relatively flat. By industry vertical, Industrials and Energy/Utilities captured the highest increase in expected IT spend since the prior survey. However, Financials/Insurance saw a meaningful decline. On a full-year basis, Nonprofit IT spend has been halved.

Data from ETR's July 2024 Technology Spending Intentions Survey is tentatively scheduled to finalize on July 8th, at which point the ETR Research Team will prepare to publish related vendor, sector, and macro-level reports. We will also host two webinars, the Macro Views Findings Webinar on July 12th and the full July TSIS Findings Webinar on July 19th. Reach out to the ETR Service Team if you haven't yet scheduled time to run through the most recent data with us. Or you can request your own free trial access here.  

Enterprise Technology Research (ETR) is a technology market research firm that leverages proprietary data from our targeted IT decision maker (ITDM) community to provide actionable insights about spending intentions and industry trends. Since 2010, we have worked diligently at achieving one goal: eliminating the need for opinions in enterprise research, which are often formed from incomplete, biased, and statistically insignificant data. Our community of ITDMs represents $1+ trillion in annual IT spend and is positioned to provide best-in-class customer/evaluator perspectives. ETR’s proprietary data and insights from this community empower institutional investors, technology companies, and ITDMs to navigate the complex enterprise technology landscape amid an expanding marketplace. Discover what ETR can do for you at www.etr.ai