Two-thirds of SMEs would cut hardware spend first

The UK’s SMEs are more likely to cut investment in hardware, services and software than their internet connection, a survey of 255 businesses has found.

The report, released by business internet provider Easynet Connect, discovered that 62 per cent of respondees would cut hardware spend to reduce expenditure, while 35 per cent would consider IT services and 28 per cent software licences.

According to Easynet Connect, only eight per cent of those questioned would consider cutting the quality of their internet connection. However, the report also found that 17 per cent of businesses would consider migrating to SaaS-based offerings to help save money.

"These findings reflect the broader trend of IT moving from a software/hardware-based model to increasingly being delivered as a service," claimed Easynet Connect’s managing director, Chris Stening.

"As a result, businesses are placing less value on their physical IT assets, and more value on IT services such as the internet and SaaS."