Covid-19 and the wave of generative AI innovations have greatly accelerated organisations’ digital transformation efforts globally. With large-scale migration to the cloud and an arms race for computing power supremacy, companies’ IT spend has also significantly increased. Businesses in Europe and the Americas are spending 12% of their revenue on IT in 2023, up from 7.5% in just 2 years.
IT costs are therefore becoming a significant part of overall financial concerns and will have a material impact on bottom-line profit. In an era of high interest rates and challenging top-line revenue growth, adequate governance over such spending to ensure maximum ROI is crucial for companies’ financial resilience.
