- Half of entrepreneurs will increase IT investments this year, UBS finds
- Many are concerned about higher taxes and geopolitical uncertainty
- Europeans among the most likely to increase AI and IT spending
New data from UBS Global Entrepreneur report has revealed technology starts and Small Business World is in a healthy place where three out of five (61%) feel optimistic in terms of the prospects of their industries this year.
The news comes as more entrepreneurs appear to invest in expansion, with investments in people and acquisitions on the cards for many.
That said, it is also said that technology is an important focus area for entrepreneurs where the report finds almost half (45%) expects investment in AI infrastructure, applications and/or models that are investments in transitions.
Entrepreneurs grow their business and invest more
Three out of five (62%) now see AI as the largest commercial opportunity for their industries, with two -thirds (67%) predicting AI will lead to improved productivity for a typical company in their industry at the end of the decade. Almost half (47%) plan to increase it and digital transformation costs over the next 12 months.
However, entrepreneurs continue to exert a cautious approach where many cite political uncertainty and/or instability (53%), higher taxes (42%) and greater geopolitical conflicts (42%) as concerns next year alone.
In addition, UBS revealed some important differences across the globe: European entrepreneurs plan to increase AI and the consumption, with digital transformation that emerges as central focus areas; While respondents in America will focus on staff investments. Those located in the Asia-Stophavet and also Switzerland will focus on both strategic acquisitions and IT/AI growth.
The report also revealed higher industry’s outlook optimism in America (71%) compared to Europe (52%), Switzerland (50%) and Asia-Academy (59%).
By analyzing how entrepreneurs perceive their industries, UBS hopes to understand the effects of global pandemic and geopolitical conflicts on economic growth.
Head of strategic clients Benjamin Cavalli concluded: “This report captures the collective knowledge of some of the brightest business Innovators we have the privilege of working with and highlights their insight into topics from their industry views to their business plans over a short -lived horizon, and to the end of The decade. “
