53% of 2005 IT spending in Western Europe will come from small and medium businesses

Small and medium businesses (with 1-499 employees) will account for around 53% of total IT spending in Western Europe in 2005, according to IDC. Spending by midsize businesses (100-499 employees) will grow at 4% in 2005. In view of the increasing availability of solutions fitting their needs, and with a more strategic approach to IT investments, these companies are a very attractive segment for IT vendors. Low-end large businesses (500-999 employees) will record the highest growth rate among all size segments in 2005, at 4.8%, with government and healthcare institutions showing the most dynamic growth rates.