
According to the IDC, Europe, the Middle East, and Africa (EMEA) digital transformation (DX) costs are likely to reach $ 1,201 billion by 2028, with the compound annually during the prediction period of 2024-2028 The growth rate (CAGR) is 15.8 %.
The Digital Expenditure Market is extremely affected by the strong growth of artificial intelligence (AI) investment, which maintains two digit growth. It is also clear from the survey data that shows that 99 % of the CEO of EMEA are preferring Geneai (Genai) measures (IDC WW CEO Survey, February 2024, EMA ; N = 67).
“AI will renew the digital business models and new shapes of digital assets, which will support organizations’ efforts to become AI fuel business by 2027. DX is ready to accelerate the future. , Which will change new experiences and operational models, according to this forecast round, EMEA is ready to exceed $ 1,200 billion by 2028, “IDC EMEA Digital Business and AI change Erica Spinoni, a senior research analyst for strategy research, says.
The effects of technologies on expense
Digital change investment investment from robots to cloud, investing in various technologies. The analysis of basic technologies allows them to be classified in three growth groups: permanently growing technologies such as personal devices and communication services. Like the DX, including IOT and IT services, growing technologies at the same rate. And is headed by emerging technologies such as Technologies, Genai, Cloud Computing, and AR and VR. This insights provide a clear view of changes in the digital business of organizations running dynamics and strategic priorities.
“To digital business and operating models, organizations need to invest in multiple technologies and use cases to deal with the main priorities of the business. Today, as the main driver of the Geni Digital Investment There is an emergency, even leaving the cloud behind, with a CAGR that is four times higher than the overall digital market, “IDCEM EAA Digital Business and AI Transformation Strategies Senior Senior Research manager Julia Kerosla says.
An industry point of view
Organizations are taking a different approach and reflects specific priorities, investment standards and requirements, its ban will prefer different issues based on industry -based use.
- Financial services: During the forecast period, the highest CAGR industry, focusing on digital investment pace, focusing on cybersonicity and consumer experience, especially now with AI axis.
- Distribution and Services: Despite the severe impact of the current geographical political tension on the supply chain, retailers maintain strong DX investment, mainly focusing on digital platforms and numerous customers focusing AI.
- Infrastructure: Before a high level of digital maturity, digital investment in the infrastructure will maintain its pace to further promote its competitive position in AI/Techspace. The AI will play a more important role in creating intelligence in the infrastructure network.
- Manufacturing and Resources: Organizations in this industry are accustomed to the deployment of large -scale technology, new shape processes and ways to operate. Today, AI and Genai investment is expected to further enhance the production capacity of employees, which will create opportunities for development.
- Public Sector: This industry has a dual approach to digital investment. Although budget barriers are imposing investment priority and allocating budget, the use of modern and emerging technologies is expanding.
“Digital change is a way of expanding industries where investment is underway. It is also a way to reduce costs more efficiently and improve the process. Senior IDC data and analytics. Research manager Anjila Vika says these benefits will help to advance the DX growth in double digits during the prediction period.
“Digital change is more about new products and new taxes than a few years ago,” says Neli Wachiova, a research manager for IDC data and analytics. “However, in the context of the AI, the wave of innovation will give rise to new reform plans and performance levels in areas that have already changed digitally.”
Digital Spending Drivers and Stopping
Many factors affect the ability to invest in the digital change of organizations. By developing and driving, EMEA organizations are mandatory to the AI’s strategic, which offers an important opportunity to guide this accusation and take advantage of the first moving benefits. The new rules and growing cyberrtex need a strong security and confidence currency, which is equally important to ensure investment.
On the contrary, potential projects are being carefully examined due to high costs and uncertainty. “Ai and livelihood are not just technological growth. They are strategic for EMEA organizations. However, geographical political tensions and economic uncertainty are urging organizations to examine their IT budget. In addition, the lack of digital skills and organizational silences are the main obstacles that need to be resolved to fully understand the ability to digital change.
IDC’s EMEA Digital Transformation Market Prediction, 2024:2028 is a comprehensive analysis that highlights the dynamic growth and strategic importance of digital change in the EMEA region, which is driven by significant investment in AI. A deep diver has also been provided in terms of sector and use matters. Idc