IDC expects spending on big data and business analytics (BDA) to increase 10.1 percent over 2020.
The beancounters have a theory that as the global economy picks up spending on BDA will reach $215.7 billion this year, an increase of 10.1 percent over 2020.
In an update to its Worldwide Big Data and Analytics Spending Guide, the research firm has tipped BDA spending to gain strength over the next five years as the global economy recovers from the COVID-19 pandemic. The compound annual growth rate (CAGR) between the 2021-2025 period will be 12.8 percent, IDC said.
IDC Vice president Jessica Goepfert said: “As executives seek solutions to enable better, faster decisions, we’re seeing relatively healthy BDA spending across all industries.”
IDC cites businesses in the professional services industry that are utilising big data and analytics to support their 360-degree customer and client management efforts, as well as project management initiatives.
“Banks are using BDA solutions to improve customer onboarding while simultaneously automating business operations and detecting and preventing fraud”, Goepfert continued.
IDC says that banking, along with discrete manufacturing and professional services, are currently making the largest investments in big data. These three industries look set to account for a third of all BDA spending in 2021.
According to the report update, telecommunications will see the fastest growth in BDA spending over the forecast period, while all but one of the 19 covered industries are expected to see double digit growth.
The US is the largest market with over $110 billion in BDA spending predicted this year, the research firm added, followed by Japan and China which will reach $12.4 billion and $11.9 billion, respectively. The UK is the only other country tipped to surpass $10 billion.
