This graph will give us a good perspective on where Tech companies are spending their IT budget.

At a very high level, it is becoming very clear that “SaaS spending is getting very concentrated” – i.e. Due to the high adoption of SaaS products, there is an opportunity for even smaller SaaS companies to win a greater share of wallet

Not surprised to see that the major portion of the budget goes into Developer tools, collaboration tools, and CRM.

It is great to see that a good portion of the budget is being spent on Social Media Marketing, Analytics, and Visualization tools.

It is also interesting to note from the research that on average, the three largest software subscriptions paid for by a tech company account for an average of 42.9% of their total software budget.