New U.S. Federal Government Economic Stimulus Plan Draws on Research from IDC’s Industry Insights ; Research from Energy Insights, Government Insights, and Health Industry Insights Guides U.S. Government Decision-Making
FRAMINGHAM, MA – January 28, 2009 – IDC's Industry Insights companies, a series of industry-specific research and advisory business units, today announced the inclusion of critical data and projections from three of its business units – Energy Insights, Government Insights, and Health Industry Insights – in two strategic government stimulus reports used by the Obama transition team.
Research from Energy Insights and Health Industry Insights was used in a report, The Digital Road to Recovery: A Stimulus Plan to Create Jobs, Boost Productivity and Revitalize America, by the Information Technology and Innovation Foundation (ITIF) – a non-partisan research and educational institute whose mission is to formulate and promote public policies to advance technological innovation and productivity internationally, in Washington, and in the states.
For the report, Energy Insights developed spending forecasts for intelligent grid projects using three different economic stimulus scenarios. These forecasts were used by ITIF to estimate the number of jobs that would be created by increased intelligent grid spending. The intelligent grid is one of the top energy priorities of the Obama administration's economic stimulus plan. Energy Insights' input resulted in data projecting that a $50 billion additional investment in the smart grid over five years would create 238,745 new jobs. Doubling the investment to $100 billion over five years would create 477,490 new jobs.
Health Industry Insights data forecasted the estimated costs of the complete transition to electronic health records (EHR) for all inpatient and ambulatory care providers to reach $7.6 billion annually over the next 15 years. According to Health Industry Insights analysis, spending in this area will grow at approximately 4.5 percent annually over the next five years. However, tightening credit markets and the downturn in the U.S. economy mean that spending on these projects is likely to be lower than expected, and capital expenditures on health IT could even decline in 2008, absent government support through a stimulus measure.
In a separate a White House document from the Office of Management and Budget, Government Insights predictions served as an input for planning $25 billion enterprise infrastructure spending. Government Insights forecasts a healthy $3 billion increase in the federal IT budget for 2009.
“IDC's Industry Insights research is frequently used to support business decisions by global governments and the Global 2000," said Meredith Whalen, group vice president and general manager, Industry Insights. “It is our belief that technology investments are a cornerstone to creating new jobs, increasing efficiency across industries, and stimulating the economy.”
About IDC's Industry Insights Companies
IDC's Industry Insights companies provide industry executives with research-based advisory and consulting services that enable information technology (IT) and business executives to maximize the business value of their technology investments. Industry Insights cover the industry value chain for energy, financial services, government, health, retail and manufacturing. Staffed by senior analysts with extensive experience in these industries, Industry Insights provide a portfolio of offerings that are relevant to both IT and business needs.
IDC is the premier global provider of market intelligence, advisory services, and events for the information technology and telecommunications industries. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. For more information about IDC and its Industry Insights Companies, please go to www.idc.com.