Enterprises are again set to reduce spending on telecom services this year, according to new research.
The total amount spent on communications services at a global level is projected to decline two percent to $1.4 trillion in 2016, Gartner said.
The year-on-year decline is down markedly on the 8.4 percent fall between 2014 and 2015.
Continuing economic downturns in major markets such as Russia and Brazil are dampening spending in both fixed and mobile voice, the analyst firm said.
A slowdown in China's growth is affecting consumer confidence and eroding spend in fixed voice services, it added.
However, businesses are spending more on mobile data thanks to “improved” pricing on bandwidth, mobile app and 4G/LTE network availability.
The analysis is part of Gartner’s latest global IT spending forecast, which predicts a 0.5 percent decline to $3.5 trillion this year.
Falling investment in devices as well as telecoms services is holding back growth in data centre systems, software and IT services.
Gartner Research Vice President John-David Lovelock said: “The need to spend on digital business initiatives in a time when revenue growth does not support runaway IT budgets is forcing more organisations to optimise as a first step.
"Most traditional IT now has a 'digital service twin' — license software has cloud software, servers have Infrastructure as a Service, and cellular voice has VoLTE.
“Things that once had to be purchased as an asset can now be delivered as a service.
“Most digital service twin offerings change the spending pattern from a large upfront payment to a smaller reoccurring monthly amount.
“This means that the same level of activity has a very different annual spend."