Brexit – any impact for your IT budget?

Brexit – any impact for your IT budget?

While the details of Brexit and the broader impact are still being thrashed out in Parliament and beyond, large IT vendors have already began announcing price hikes,citing Brexit as the reason.

Microsoft officially announced increases of up to 22% across its product range to reflect the decrease in value of the pound vs. (US) 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 continue across the sector with VMware and Citrix  the latest to announce rises based on the value of the pound vs. (US) dollar. We expect the trend to continue across all key vendors, regardless of true impact. Who can blame them? It is an ideal opportunity to apply price increases without usual levels of direct negative press.

So, is there anything 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 Office 365, now is a good time. With the right plan, you can take advantage of current prices for a full 12 months – even for new accounts added later in the year.

Generally, other vendors are giving at least a month’s notice so if you are planning any upgrades in the New Year, there may be notable benefits to placing orders early. 

It is fair to say price decreases are unlikely, even if exchange rate move in our favour. Regardless of the broader political and economic climate post Brexit (and Trump), it makes sense to spend now.

For more information see:

https://www.theguardian.com/technology/2016/oct/24/microsoft-office-british-business-pound-slump-eu-referendum

http://www.macworld.co.uk/feature/apple/apple-price-increases-uk-iphones-ipads-macbooks-go-up-in-price-3646277/

http://www.bbc.co.uk/news/technology-36722155