Impact of COVID-19 on Technology.
The spread of COVID-19 has had a significant impact on the technology sector, affecting supplies of raw materials, disrupting the electronics value chain, and causing an inflationary risk on products. More positively, the disruption has caused an acceleration in remote working, and a rapid focus on evaluating and de-risking the end-to-end value chain. In addition, potential carbon emission reductions could result in a renewed focus on sustainable practices. Potential long-term impacts on technology sub-sectors Hardware/Software
- The launch of new smartphones may be impacted due to supply chain constraints.
- Factories are experiencing challenges in getting them up and fully operational,
- Software applications that promote remote-working have increased demand, and
- Security software applications are improving remote work efficacy and demand meaning companies will spend more to secure endpoints that are being used for optimal efficiency.
- IT spending forecast indicates continued demand for cloud computing infrastructure services and potential increases in spending on specialized software. There is also an anticipated increase in demand for communications equipment and telecom services as employees are encouraged to work from home and schools to move to online classes.
- Most companies do not have a tech stack in place for a reliable business continuity plan (BCP), and due to increased remote work, IT sections will play a large role in future BCPs.
Category: Health, Technology