Walmart, BoA Are Top IT Spenders - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
IT Leadership // IT Strategy
News
4/8/2015
09:45 AM
Connect Directly
Google+
LinkedIn
Twitter
RSS
E-Mail
100%
0%

Walmart, BoA Are Top IT Spenders

Walmart tops the list of the 10 biggest IT spenders, which otherwise is dominated by banks and financial services companies.

How To Make Passwords Obsolete
How To Make Passwords Obsolete
(Click image for larger view and slideshow.)

The world's largest companies spent about $895 billion on technology in 2014, according to research firm IDC.

The top 10 IT spenders accounted for $45.3 billion of that total. At nine out of ten of those companies, technology spending rose between 2 and 10 percentage points in 2014, compared to 2013.

IDC's study, "The Big Guns: IDC's Worldwide Top Ten IT Spenders," identifies Walmart Stores as the top IT spender. The retail giant spent $10.16 billion on IT in 2014, a 3.1% increase from the $9.86 billion it spent in 2013.

Second-ranked Bank of America spent about half what Walmart spent on IT in 2014, $5.33 billion, but its spending growth percentage, at 6.2%, was roughly double Walmart's.

Citigroup, AT&T, and JPMorgan Chase represent the remainder of the top five. IDC's study indicates that, on average, about a third of the technology spending by these companies goes toward salaries and benefits for internal IT and telecommunications staff.

[ Are your IT skills in demand right now? Read 15 Hot Skill Sets For IT Pros In 2015. ]

IDC program director Jessica Goepfert said in an email that the largest companies are spending on a combination of customer-facing and enterprise-focused projects, along with initiatives to adopt and advance third-party platform technology.

"This indicates that companies recognize the imperative to implement innovative technologies to remain competitive while balancing necessary investments to 'keep their houses' in order," said Goepfert.

(Image: 401(K) 2012 via Flickr)

(Image: 401(K) 2012 via Flickr)

Bank of America, said Goepfert, has retired more than 18,000 applications since 2010 to simplify and modernize its platform. "Meanwhile, the company is also utilizing big data to help with its customer retention efforts," she explained. "This includes, in part, a consolidated central analytics group to foster more transparency and communication across channels for a smoother customer experience."

Among financial services and retail companies in particular, said Goepfert, mobile technology initiatives aim to meet customer needs. "Walmart, for instance, is very focused on mobilizing the store," she said. "The company claims it was the first retailer to launch geo-sensitive functionality that changes the user interface of its customer-facing mobile application when a shopper enters the store."

Goepfert pointed to Nordstrom as another large retailer that manages to be innovative in terms of IT. The company, she said, has found ways to use technology in the service of its mission: to provide a great customer experience. "There are a variety of examples -- from its point-of-sale system, to different apps it has launched," she said. "What is unique is that the company, despite its size, seems to be able to execute its strategy in a cohesive, integrated fashion."

Attend Interop Las Vegas, the leading independent technology conference and expo series designed to inspire, inform, and connect the world's IT community. In 2015, look for all new programs, networking opportunities, and classes that will help you set your organization’s IT action plan. It happens April 27 to May 1. Register with Discount Code MPOIWK for $200 off Total Access & Conference Passes.

Thomas Claburn has been writing about business and technology since 1996, for publications such as New Architect, PC Computing, InformationWeek, Salon, Wired, and Ziff Davis Smart Business. Before that, he worked in film and television, having earned a not particularly useful ... View Full Bio

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
Page 1 / 5   >   >>
tjgkg
50%
50%
tjgkg,
User Rank: Ninja
8/17/2015 | 7:44:34 PM
Re: walmart
Good advice, Batye!
soozyg
50%
50%
soozyg,
User Rank: Ninja
7/7/2015 | 4:47:34 PM
Re: walmart
@Curt, I look forward to that. I miss the shows. They were so interesting and engaging.
Curt Franklin
50%
50%
Curt Franklin,
User Rank: Strategist
7/7/2015 | 1:41:31 PM
Re: walmart
@soozyg, you and the rest of the crew here are going to give me a swelled head!

A lot of us miss the wonderful sense of community we had: We're working hard to re-create it here. I hope everyone will stay tuned, because later this Summer we're going to to have some big announcements about radio. I think (hope?) that we'll have some shows that will be worth everyone coming together for!
tjgkg
50%
50%
tjgkg,
User Rank: Ninja
7/7/2015 | 1:21:34 PM
Re: walmart
@soozyg: LOL! Yes Curt was that good. And he did not need the dramatic music that the NFL guys used!
batye
50%
50%
batye,
User Rank: Ninja
7/7/2015 | 10:58:26 AM
Re: walmart
@tjgkg Yes never give up...
soozyg
50%
50%
soozyg,
User Rank: Ninja
7/7/2015 | 10:00:24 AM
Re: walmart
@tjgkg oh, how could I forget to mention Curt's amazing interviews and questions. I remember a long time ago 60 Minutes profiled the father-son company that made the NFL films of the 1970s. I remember they chose a narrator whose voice was so nice to listen to he could read the dictionary and the audience would swoon. Well, similarly, Curt could make a doorknob seem interesting!
tjgkg
50%
50%
tjgkg,
User Rank: Ninja
7/7/2015 | 9:25:30 AM
Re: walmart
@batye: Positive thinking!
tjgkg
50%
50%
tjgkg,
User Rank: Ninja
7/7/2015 | 9:21:07 AM
Re: walmart
@soozyg: So do I. Now i am getting really nostalgic for the old days. Wish they would come back.
batye
50%
50%
batye,
User Rank: Ninja
7/5/2015 | 7:46:44 PM
Re: walmart
@tjgkg, maybe one day :) you will :)
batye
50%
50%
batye,
User Rank: Ninja
7/5/2015 | 7:46:00 PM
Re: walmart
@soozyg, Amazon know how to treat customer... and they willing to take loss to please customer... simple old way... of doing things....
Page 1 / 5   >   >>
Commentary
What Becomes of CFOs During Digital Transformation?
Joao-Pierre S. Ruth, Senior Writer,  2/4/2020
News
Fighting the Coronavirus with Analytics and GIS
Jessica Davis, Senior Editor, Enterprise Apps,  2/3/2020
Slideshows
IT Careers: 10 Job Skills in High Demand This Year
Cynthia Harvey, Freelance Journalist, InformationWeek,  2/3/2020
White Papers
Register for InformationWeek Newsletters
Video
Current Issue
IT 2020: A Look Ahead
Are you ready for the critical changes that will occur in 2020? We've compiled editor insights from the best of our network (Dark Reading, Data Center Knowledge, InformationWeek, ITPro Today and Network Computing) to deliver to you a look at the trends, technologies, and threats that are emerging in the coming year. Download it today!
Slideshows
Flash Poll