Brexit – any impact for your IT budget?
Whilst the details of Brexit and the broader impact are still being thrashed out in Parliament and beyond, the large IT vendors are already announcing price hikes and citing Brexit as the reason.
Microsoft officially announced increases of up to 22% across its product ranges to reflect the decrease in value of the pound against the dollar a couple of weeks ago. In late October, Apple more discreetly increased device prices across their range including old and new iPad, Mac and iPhone models quoting factors including exchange rates.
Announcements are continuing across the sector with VMware and Citrix being the latest to announce rises based on the value of the pound against the US dollar. We expect to see the trend continue across all key vendors, regardless of the true impact to them, and who can blame them? This is an ideal opportunity to apply a price increase without the usual levels of direct negative press.
So, is there anything that you can do to minimise the impact to your budgets? Microsoft offer price protection against some versions of their products so if you are thinking of Office365, now is a good time to place your order as, with the right plan, you’ll be able to take advantage of current prices for a full 12 months – even for new accounts added later in the year.
Other vendors are generally giving at least a month’s notice so, again, if you are planning on any upgrades in the new year, there could be notable benefits in placing orders early.
It’s fair to say that price decreases are unlikely, even if the exchange rate moves in our favour. Regardless of the broader political and economic climate post Brexit (and Trump) it makes sense to spend now.
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