How Confident Are Your IT Vendors?

Business confidence among IT hardware and service providers dipped slightly in Q2 2010, according to the Quarterly IT Industry Business Confidence Index report from CompTIA. CompTIA is a non-profit trade organization for manufacturers, distributors, resellers, and educational institutions involved in the delivery of IT products and services to the enterprise. More than two thirds of respondents (64 percent) expect no change in the cost of the goods or services sold, while 28 percent expect the cost of goods to increase and eight percent expect these costs to decrease.

The CompTIA IT Industry Business Confidence Index is an aggregation of three metrics: opinions of the U.S. economy, opinions of the IT industry and opinions of one’s company. The study was fielded via an online survey to a sample of 306 U.S. information technology companies during mid June 2010.

Just 18 percent of respondents expect their revenue to be much better in second-half 2010 than it was in the first half of the year, while 43 percent anticipate somewhat better revenues in that time period. Almost a third (31 percent) expect revenues to stay the same in second-half 2010 as they were in the first two quarters, while 8 percent expect revenues to be worse in the second half than they were in the first half of the year.

Overall, the CompTIA IT Industry Business Confidence Index slipped 1.4 points in June 2010 compared to the March 2010 reading. All three index components –overall economy, IT industry and individual company — fell slightly.