End-to-end hybrid multicloud technology solutions company, Rackspace Technology, in association with Dell and VMware, has launched the 2024 IT Outlook Report, providing perspectives on the upcoming trends in IT investments.

The report demonstrates that, despite the ongoing economic uncertainties, Australian firms remain steadfast in prioritising their IT expenditures in 2024, specifically focusing on disruptive technologies like artificial intelligence (AI) and cloud transformation.

The survey throws light on several key findings. High on the list is the evolution of AI, with 67% of Australian participants identifying pervasive AI as the technology that would make a significant positive impact on their businesses in the forthcoming year.

It is forecasted that 62% will incorporate generative AI into parts of their business processes within the next year. While respondents anticipate an array of benefits from the use of AI such as improved security (58%), and increased productivity (51%), the report also highlighted privacy concerns, with only 49% having policies in place that address AI usage regulations.

The research further revealed emerging trends in cloud evolution. Currently, 76% of respondents employ a hybrid cloud strategy, with plans to integrate edge computing into their IT infrastructure for 30% of the organisations in the near future. While security issues (37%) and the potential for shortages and cost overruns (36%) were highlighted as the top challenges in transitioning to the cloud.

The survey also examined the complexities attached to recruitment and training as businesses strive to keep pace with rapidly advancing technology. It found that 75% of respondents highlight a skilled worker shortage as their predominant concern, with 45% willing to pay more to fill critical roles due to rapid tech advancements. The report thereby suggests an adaptable workforce that emphasises lifelong learning and problem-solving, in addition to technical skills training, is highly desirable.

Srini Koushik, President of Technology and Sustainability at Rackspace Technology, offered that "the results underscore a decisive shift in AI from the technical curiosity in 2023 to accelerating business outcomes through solution industrialisation in 2024." This suggests that organisations are diligently working to integrate AI into their daily processes, viewing AI as a pivotal element in their company's transformation journey.

Koushik continued, stating that "the sustained magnitude of tech advancements in AI, Cloud, Security, and other technologies demands an adaptable workforce." This highlights the importance of encouraging an adaptable, continuously learning workforce. This proactive approach and a readiness to adopt emerging technologies can help maintain the pace of progress whilst driving innovation forward.

The survey was conducted by Coleman Parkes in October and November 2023 and targeted 1,420 senior IT decision makers across multiple key sectors in the USA, LATAM, EMEA and APAC.

Coleman Parkes is a full-service B2B market research agency specialising in IT/technology studies, targeting senior decision makers in SMB to large and enterprises across multiple sectors globally.