Keeping secure, trimming cloud computing bloat, and being resourceful in attracting talent will be the secret sauce of success this year.

Economies in the Asia Pacific region (APAC) have proven to be resilient in the face of supply chain shifts and economic headwinds around the world.

The region experienced slight growth in enterprise technology spending in 2023 despite those macroeconomic challenges, and it is poised for further growth this year.

However, note that the following patterns and factors may sway the trajectory of tech spending and business agility in the region in the months ahead:

Rob Le Busque, Regional VP (Asia Pacific), Verizon Business

    • Cybersecurity will be a top priority
      Our research involving 16,000 security incidents and upwards of 5,000 breaches around the world in 2023 revealed that the “human element” was responsible for 74% of breaches and a majority of incidents. One of the most pervasive attack patterns — social engineering — preys on that widespread vulnerability: human error. As social engineering incidents continue to increase, spending on security within the APAC region will be a top priority this year.

      The persistent cyber threat, coupled with an increase in enterprise tech spending, laid the groundwork for an uptick in cybersecurity investment in 2023 and likely in 2024.

    • Optimizing cloud deployment will be key
      Despite the region’s resilience, economic uncertainty persists around the world this year. As such, businesses will need to justify budgets. Cloud computing has been invaluable in supporting emergent work models during the COVID-19 pandemic, but now businesses are looking to remove bloat.

      Organizations will in 2024 explore ways to streamline their cloud configurations. Many will increasingly adopt cloud-native principles, leading toward Kubernetes-based platforms, for instance, to ensure scalability, resilience and application flexibility. Some will pare down on the Software-as-a-Service (SaaS) solutions that have piled up in their stack, as managing a collection of SaaS providers has become unwieldy for many organizations.

      More and more, businesses will limit SaaS providers in favor of partners that can offer multiple solutions on one platform, thereby streamlining operations and cutting down on costs.

    • The drive to attract IT talent continues
      The IT labor shortage is expected to persist through 2024, which will continue to be a challenge for APAC, especially around cybersecurity talent. Employers will need to get more creative about attracting and retaining talent, adapting their business and implementing new strategies. The answer they are looking for may already be in their backyard.

      If employers continue to narrowcast, strictly searching for candidates with specific technical skills, they are likely to struggle. If, however, they expand their search to include candidates that possess foundational digital skills and knowledge (i.e., transferable skills) — they may be able to unlock new opportunities.

      This is not limited to the job pools. Some of that foundational knowledge may already reside within talents in their organization. By offering training, apprenticeships and internships, an organization is more likely to discover previously overlooked employees and tap their potential so that they can transition into tech roles that need to be filled.

The road to resilient growth

To be positioned for growth this year, APAC businesses will need to make the most of their existing resources: streamlining cloud configurations; removing SaaS excess; and uncovering new talent by identifying related skills and knowledge. 

Last but not least, businesses that prioritize securing their operations will flourish.