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Small firms 'to boost IT budgets'

Small and medium-sized businesses are increasing their technology budgets, it has been claimed, which could create new IT jobs.

A poll of more than 1,000 IT workers with small enterprises by Spiceworks found that 43 per cent have seen their technology budgets rise in the current financial year, with the average increase standing at nine per cent.

The survey also found that 55 per cent intend to buy new software during the first half of the year, with Windows 7 upgrades, virtualisation, backup and recovery products, and security applications being the main priorities.

In addition, 88 per cent of small enterprises will purchase new desktops, laptops and servers in the opening six months of 2010 as they seek to replace hardware which is more than two years old.

Jay Hallberg, co-founder and vice president of marketing for Spiceworks, commented: 'The technology spending slowdown among small and medium businesses seems to be over.'

This week, technology analyst Gartner predicted that global spending on IT will increase by 5.3 per cent during 2010 to hit $3.4 trillion (£2.2 trillion).
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