Why I'm Optimistic About 2021

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We’ve made it through 2020 – a year that presented significant challenges and won us some titles. We’ve learned what it means to be resilient and agile. We’ve adapted to different ways of working and learning. We’ve come together even when we were apart, offering support and encouragement. And often, technology was at the heart of it all. It kept us connected, informed and engaged.

I'm incredibly optimistic about 2021.

Technology trends have always accelerated in response to the pandemic and economic downturn, and they're only going to get faster from here. We live in a hybrid, highly distributed world. We're on the cusp of pervasive connectivity that drives real-time, automated, and intelligent outcomes at the edge enabled by 5G.

This is a strong foundation for an economic rebound and growth across the technology sector. IDC and Gartner estimates project single-digit IT spending growth in 2021¹, including a pickup in server and storage infrastructure how to get usa whatsapp number growth, as well as hybrid cloud growth. Our own 2020 Digital Transformation Maturity Index tells a similar story, with 80% of organizations globally accelerating digital transformation programs. What is clear is that organizations of all sizes and segments are investing in the next phase of their transformation.

In this next phase, three IT priorities stand out that will lead the sector's growth in 2021.

Home economics is here to stay
The world has embraced the flexibility to work and learn from anywhere, and the PC is up to the challenge. IDC has reported that more than 300 million PCs will ship by 2020. Home use is shifting from one PC per household to one PC per person in that household. And when workers re-enter traditional workspaces, they’ll have outdated computers that will need an upgrade to keep up with the demands of a hybrid workforce. Devices that feature intelligent software to fully customize and optimize the user experience for new collaboration applications, video conferencing, and data-intensive workloads outside the traditional office. And, of course, they have to be secure.

These computers bring their own demands. They contribute to the increased infrastructure spending we expect to support the management and delivery of applications, services and security in a hybrid world.

We live on the Edge
Pervasive connectivity is enabling more and more automated and intelligent devices, cars and machines at the edge, which will be further accelerated by the deployment of 5G.

For perspective, 10% of data is generated outside of a data center today. But by 2025, 75% of enterprise data will be processed outside of a traditional centralized data center or the cloud for further processing and real-time analytics. By 2024, we will see an 800% increase in applications at the edge.² As a result, there will be an estimated $700 billion in cumulative CAPEX spent on edge IT infrastructure and data centers. The edge is where the data and money is, driving new investments in hybrid cloud solutions delivered as a service.

You can’t talk about the edge without talking about the telecom industry. The proliferation of 5G requires open, software-defined network architectures, forcing telecom network providers to “cloudize” their networks. The digital transformation we’ve seen underway in the enterprise is now alive and well in telecom, creating a $150 billion market for IT. It’s early days, admittedly, but it’s important. Investments made in 2021 will lay the groundwork (literally) for the connected digital cities and landscape of the future.

Simple to consume, easier to plan: everything as a service
By 2024, more than 75% of edge infrastructure and 50% of data center infrastructure will be consumed as-a-service.³ And for good reason: IT needs to be easier to deploy, consume, and manage. In 2020, that message was loud and clear as IT priorities and budgets underwent an overnight overhaul. Cloud and as-a-service experiences have set new expectations for how simple IT infrastructure can and should be. Organizations need greater control and more choice. It’s how they free up IT budget for the permanence economy and opportunity of the edge. And it’s why Dell Technologies is committed to delivering our portfolio as-a-service with Project APEX.

This is my priority list. There is much to do to be prepared for what is coming in the Data Age. And that is good news for the tech industry. When I think about the future ahead and the groundbreaking advancements that technology will make possible – including the development and distribution of the COVID-19 vaccine – there is much to be optimistic about. My tech optimism is fully grounded in the reality of what promises to be a better year, a better decade, ahead.

Based on: IDC Worldwide Blackbook January 2021 IT Spending Forecast ex Telco and Gartner Market Databook 4Q20 IT Spending Forecast ex Communication Services