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SMBs will increase IT spending in 2012, report says

There are roughly 8 million small and medium-sized businesses in the United States that will combine to invest more than $138 billion on IT services and solutions in 2012 after several years of flat spending, according to a new report by IDC. Packaged software will account for roughly $50 billion of that total.

"SMBs will account for an increasing share of overall corporate IT spending in the U.S.," IDC research director Justin Jaffe said. "Vendors that are sensitive to the changing dynamics in SMB technology requirements, as well as the critical differences in the ways SMBs and large enterprises approach IT investment will be best positioned for success in 2012 and beyond."

The study also found that although small firms will remain interested in server and storage technologies, the appeal of virtualization will dramatically impact how much they spend on servers.

According to a survey by Quest Software, businesses will spend roughly 25 percent of their 2012 IT budgets on virtualization technologies, such as scalable cloud computing, in an effort to improve agility during an era of mobility, increase cost savings and meet evolving user demands.

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