For tech this recession will be shallower than the last one

George Colony of Forrester has posted a great analysis of why this recession will be different for tech than the last one 2001-03.  This is important to remember as the wave of layoffs continues.

To dramatically simplify his argument the reasons are:

  1. After 2000 there was fat everywhere in tech – but enterprises have become much more disciplined since then
  2. Tech has become much more pervasive and central to strategy, making it more difficult to cut – particularly as customers now also live on tech
  3. There are now burning tech issues that need addressing (virtualisation, social computing, mobile, green IT and SOA) – this wasn’t the case last time round

The full post is well worth a read, but the message is clear, we can expect tough times but predictions of armagedon should be treated with care.

Note that this is about tech rather than media.