New research from Beaming, a specialist Internet service provider for businesses, reveals that accelerating adoption of new technologies by UK businesses will increase demand for energy, computing power and network capacity by as much as 30% this year.
A survey of business leaders, commissioned by Beaming and undertaken by researchers at Censuswide, indicates the proportion of UK businesses using transformative new technologies such as AI, automation, cloud computing and data and analytics will almost double this year, from 22% to 40%.
Almost a fifth (18%) of companies are introducing technologies to transform their products, services and operations in 2024, driving up demand for critical resources. Beaming’s study suggests that:
- Computing power: UK businesses will require 19% more computing capacity in 2024 than in 2023. One in six small, medium and large firms anticipate their demand for computing power will at least double this year. Demand looks set to increase most in the manufacturing, finance & accounting, hospitality & leisure sectors.
- Energy consumption: UK businesses will use 21% more energy for IT needs this year, with large companies predicting a 98% rise. The finance & accounting and hospitality sectors forecast nearly double their current energy consumption. Just 11% of firms told researchers that reducing environmental impact was a consideration in their IT investment plans.
- Internet/ network capacity: Demand for Internet and network capacity will increase by 30% to handle the extra data and communications traffic associated with Digital Transformation. Large businesses anticipate a 95% increase in network traffic, while small and medium enterprises project increases of 76% and 75% respectively.
Around one in seven companies progressing Digital Transformation initiatives could not say how their technology adoption plans would affect their need for computing resources, energy and connectivity.
Sonia Blizzard, Managing Director of Beaming, said:“Digital Transformation represents a fundamental shift in how businesses operate, and that shift is accelerating. Our research shows that while many businesses are making significant strides with technology, there’s a pressing need for additional resources to support them to make cost-effective, sustainable and humane choices.
“The growing demand for energy, computing power and network capacity could place
significant strain on existing infrastructure and resources, potentially leading to higher costs, environmental impact and the risk of overburdening current systems.
“Digital Transformation should align with your broader business strategy and consider the impact for both IT and people. Approaches to new tech, like Generative AI, must reflect company values and consider staff and customer needs. With thoughtful planning and expert support, businesses can harness Digital Transformation to stay competitive.”