IT Budgets Increase - and Decrease
Forrester survey shows 19% plan to increase IT budgets, 12% plan to cut.

US IT spending to stabilize in 2002. Forrester says companies to spend 2.3 percent more this year [InfoWorld: Top News] 

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Real Cuts To The Bone
As it focuses on the strategy du jour, Real retrenches and cuts staff by 10%. This won't help. Real's problem is that it does not seem to understand the enterprise market it seeks to dominate. The company is largely focused on selling its software and does a poor job of supporting partners who can offer the applications that would drive the use - and growth - of their streaming technology.

RealNetworks to Cut 10 Percent of Staff. RealNetworks Inc. said it would cut more than 10 percent of its work force and take a restructuring charge of up to $6 million as it moved to cut costs in response to slack corporate spending. By Reuters. [New York Times: Technology] 

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WMP Feature Set Brings Up The Rear
Interesting run-down on Microsoft's 'me too' efforts in streaming media, although the analyst quoted in the piece seems to have a firm grasp on the rear view mirror. Dismissing non-PC devices as an insignificant source of growth is really missing the boat.

Microsoft's media player beat goes on. The software maker is setting itself up as a one-man band for subscriptions and services based on its Windows Media technology as part of a highly anticipated upgrade due next month. [CNET News.com] 

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Serious About Security
IDC's Chris Christianson predicts Microsoft will spend some of it's cash horde on the security marketplace, a move that has the potential to disrupt existing players. In addition to efforts to improve the existing security of its products, the company is moving to sell additional add-on products. Put the two together, and you get fewer opportunities for ISVs. Interesting note - while he predicts continued increases in security spending, he doesn't expect to see it from the government. Terrorism concerns aside, Christianson notes most government security spending is on physical security. When increased spending on IT security arrives - 2 to 3 years from now - it will only indirectly benefit ISVs, as the bulk of the money will go to the 'beltway bandit' crowd.

Analyst: Microsoft on verge of security blitz. Move could displace sector leaders [InfoWorld: Top News] 

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Microsoft: $38.7 Billion and counting
"The technology industry may be slogging through its worst slump ever, but many of the biggest names aren't hurting for cash. In fact, they're swimming in the stuff. So the question facing companies and investors is what to do with all that money. The options, experts say, are actually rather limited--buy another company, buy back shares, boost research and development spending or increase dividends. But the good thing in the interim is that all that cash is helping to keep their battered shares from falling even more, and could be enticing to investors. "

Cash is welcome burden for some techs [C/NET News.com] 

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I'll have what they're smoking...
IT buyers predict 4% spending growth in the US for 2002. They can get started anytime now.

IT Buyers Predict Spending Growth [TechWeb] 

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Goodbye Blue Monday
IBM's acquisition of PwC's consulting unit puts an end - thankfully - to the group's plan to rebrand themselves as 'Monday.' More importantly, it's a needed move b y IBM to retain a strong position in the enterprise marketplace. Useful overview of the marketplace.

Goodbye, Monday [Economist: Business] 

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