2019 will see a return to investment in innovation in the region by Latin American organizations, with the digital economy representing more than 50 percent of the region’s GDP in the next three years.
According to research by analyst house IDC, economic and political instability in Latin America, coupled with presidential elections hampered technology in the region last year, particularly in Brazil, Mexico and Colombia, which collectively represent 66 percent of the region’s GDP.
But this is all set to change in 2019, according to the analyst firm, as the region will join the global move towards digital transformation, with an accelerated pace in innovation and spending on digital assets.
According to IDC Latin America, IT spending in Latin America between 2019 and 2022 should reach $380 billion. Some 54 percent of the companies polled by the firm said they will increase IT spending, and only 17 percent plan to spend less than in 2018.
In 2019, what the analyst defines as “third platform” technologies – so mobility, cloud, big data and social media – will represent approximately half of Latin organizations’ budgets and grow by 5 percent on average.