IDC: Manufacturers Lead in IT Spending

The discrete manufacturing industry spends more on information technology products and services than any other industry, according to a new study by market researcher International Data Corp.

Discrete manufacturing is the making of products through the assembly of distinct parts, such as cars and clothing, in contrast to process manufacturing, which is the making of products from a soup of ingredients, such as chemicals or food.

The IDC study, which is based on two separate IDC reports conducted in around 31 countries, found that the discrete manufacturing industry worldwide spent 7 percent more on IT products and services in 1997 than did banking, which came in second, according to Stephanie Hutchison, a senior analyst at IDC.

In North America, discrete manufacturers spend US$48 billion [B] in 1997, Hutchison said. In Western Europe, that figure was $30 billion [B] and in the Asia-Pacific region it was $32 billion [B], she said.

In 1997, discrete manufacturers in the three regions combined spent $42 million [M] on IT services alone, according to the figures. Spending for software reached $20 million [M], and the biggest expenditure for hardware was for purchasing PCs, on which discrete manufacturers spent $18 million [M] in 1997, the figures show.

IDC, in Framingham, Massachusetts, can be reached at +1-508-935-8200.

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