The collaborative study, which was conducted by KPMG and HFS Research, has identified shifting priorities of major companies around the world and how it has specifically affected investments into technological innovations.
As the report outlines, some companies have flourished in these trying times while others have been devastated by the economic ramifications of lockdowns around the world. The findings of the report come from survey data and first-person interviews and reflects the views of hundreds of enterprise technology leaders around the world.
The biggest tech firms
Over 900 executives from business and technology firms gave input into the survey which focused on their respective enterprise’s investments and adoption of emerging technologies.
The insights come from executive-level respondents at ‘Global 2000’ enterprises with $1bln annual revenue across nine business sectors in nine different countries including Australia, Canada, France, Germany, India, Japan, the Netherlands, the U.K, and the U.S.
The emerging technologies are highlighted in the report are process automation, artificial intelligence, smart analytics, cloud services, blockchain and 5G.
Spending cuts are short term
As the report outlines innovations like 5G, edge computing, AI, and blockchain will see reduced investments from various firms over the short term as these companies mitigate the financial risk caused by the ongoing pandemic.
Blockchain technology has seen a 63 percent drop in investment according to data taken from two different sample groups between March and April and May and June 2020. It’s an alarming reduction but one that is not expected to continue in the long term.
The report suggests that companies that are dialing back on these technological innovations in the short term will soon renew those investment strategies as they look to retain a competitive edge in their respective sectors.
The data also suggests that more companies are planning to increase their spending on blockchain innovations over the next 12 months.
Bright future for blockchain in the long term
One of the key takeaways in the report focuses on the evolution of blockchain technology and how it’s adoption is seemingly ramping up in mainstream industries.
The findings highlight the capabilities of the technology and how it is becoming an increasingly important tool for enterprise level business:
“Blockchain has moved beyond the hype. It is now emerging as a viable technology for solving business problems related to auditability, security, and trust—the three key blockchain features that are most attractive to executives. Although blockchain suffered the biggest investment loss of all emerging technologies as COVID-19 impacts spread, our survey shows spending will increase in the next 12 months.”