Morgan Stanley carried out its CIO survey during the current quarter, spanning from August 6 to September 6, covering the third quarter of the calendar year. The findings of this survey hold significance for IT companies as they provide insights into budget trends for the current and upcoming years.
The key observations from the Morgan Stanley CIO survey are as follows:
Firstly, there is a continued downward adjustment to the 2022 budgets, marking the fourth consecutive quarter of reductions in IT services budgets. CIOs are now anticipating a growth rate of 2.6 percent for this year, down from 4.6 percent a year ago.
Secondly, the initial projections for the 2023 budget, representing the following year, also indicate a slowdown. The expected growth in services for the upcoming year is now at 2.2 percent, compared to the 2.6 percent forecast for the current year, indicating a 40 basis points decrease in the budget for the next year.