European mobile spending to hit $325bn by 2022

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Spending on mobility hardware and services is set to see strong growth across Europe in the coming years, with total investment reaching more than $325 billion (£251 billion) by 2022.

This is according to new research from IDC, which found that this year, spending will reach $293 billion, before increasing at a compound annual growth rate of 2.4 per cent until the end of the forecast period.

The research firm observed that mobility is playing a central role in enterprises' digital strategies, helping make businesses improve their agility, boost competitiveness and drive greater customer engagement.

"New mobility use cases and technology adoption among enterprises is driving growth in all market segments from devices to software and services," the company continued. "Nevertheless, security and compliance are top issues for large mobility projects."

Among business users, banking is expected to be the number one sector for mobility spending across the forecast period, followed by discrete manufacturing and professional services. Meanwhile, the sectors that will see the fastest growth include utilities and local and national governments.

More than half of enterprise spending will be devoted to mobile connectivity and services, with this sector accounting for more than $190 billion by 2022. Meanwhile spending on hardware – such as smartphones – is the second-largest area, reaching $129 billion by the end of the forecast period. Investment in mobile applications and app development platforms will be the fastest-growing category.

Gabriele Roberti, research manager for IDC EMEA Customer Insights and Analysis, commented: "Western European companies now have a clear understanding of the benefit mobility technologies can deliver and are evolving their approach – focusing on applications integrated with enterprise systems."

He added: "In customer-centric industries, like financial services and retail, mobility is becoming a pivotal part of digital transformation."