Computer Hardware

The outlook for the Computer Hardware industry is considered neutral with signs of weakness. Most U.S. technology products and service providers have globally diversified sales and are therefore affected by worldwide spending trends. The outlook incorporates the following forecasts:

Global GDP Growth of 2.5% in 2013, 3.2% in 2014, most coming from emerging markets, China, India, Latin America.

Europe in recession, severe in some countries due to debt crisis. Risk of disorderly default or exit from EMU low.

U.S. growth an anemic 1.9% in 2013, 2.5% in 2014, due mainly to the ongoing U.S. budget stalemate.

Growth in IT spending in 2013 will generally slow from 2012 levels.

Individual subsector performance will vary depending on their respective drivers.