U.S. B2B Technology Revenue Grows 10% in First Half of 2026; Growth Expected to Moderate in the Second Half, Reports Circana
Cloud, software and services, and IT hardware continue to support business technology spending as organizations prioritize modernization, security, and productivity.
CHICAGO, Aug. 05, 2026 (GLOBE NEWSWIRE) -- CHICAGO — August 5, 2026 — The U.S. B2B technology reseller market combined revenue across cloud, software and services, and IT hardware reached $35.3 billion in the first half of 2026, increasing 10% year over year. B2B technology revenue is forecast to reach $35.7 billion in the second half of 2026, increasing 6% year over year, according to the latest Future of B2B Technology forecast from Circana™.
“Business technology investment remained healthy during the first half of the year despite an uncertain economic environment,” said Mike Crosby, senior technology advisor at Circana. “Commercial technology demand remains healthy, and growth through the remainder of the year will be fueled by continued investments in infrastructure modernization and PC refresh initiatives, particularly among enterprise and medium-sized businesses.”
Cloud revenue totaled $1.69 billion in the first half of the year, growing 15%, and it is expected to continue at that rate through the second half, leading growth for the industry. IT hardware generated $17.67 billion in revenue in the six months ending June 2026, increasing 11% year over year and representing approximately half of total B2B technology revenue, and software and services reached $15.98 billion, up 8% from the prior year. Growth for both of these segments will moderate slightly in the next six months, with IT hardware expected to reach gains of 8% and 4% for software and services.
IT Hardware Highlights
IT hardware delivered strong growth during the first half, led by storage hardware, computers, and PC memory. The computer market, which remains the largest category by revenue, continued to shift toward higher-performance configurations as organizations refreshed aging device fleets and invested in more capable systems.
Rising memory and storage costs, richer product configurations, and ongoing enterprise and midmarket refresh activity contributed to higher average selling prices despite lower shipment volumes. Storage hardware and PC memory were among the strongest-performing categories, benefiting from tighter supply conditions, higher memory and NAND pricing, and demand for higher-capacity solutions.
Momentum continues in the second half
Cloud spending is expected to remain robust as organizations continue to expand their adoption of cloud-based platforms and services. Software and services growth will be supported by ongoing investments in cybersecurity, managed services, and operational efficiency initiatives. IT hardware will remain a key growth contributor through year-end, supported by continued enterprise and midmarket PC refresh activity, infrastructure investments, and modernization projects.
Across the broader hardware market, normalizing replacement cycles and more targeted purchasing will moderate unit demand. However, higher component costs, supply dynamics, and richer product configurations will support elevated average selling prices, and as a result, revenue growth will continue to outpace unit growth.
2027 Outlook
Looking beyond this year, Circana forecasts combined B2B technology revenue to increase 5% in 2027. Despite the anticipation of cooling economic growth, the expectation is that organizations will continue to prioritize investments that improve productivity, strengthen security, modernize infrastructure, and support workforce enablement.
“Technology remains one of the most resilient areas of business investment,” added Crosby. “Yes, organizations are becoming more selective with spending, but these types of investments continue to deliver measurable business value.”
Circana’s Future of™ is a series of industry-specific forecasts and insights that incorporate Circana’s data assets, deep industry advisor expertise, macroeconomic inputs, superior technology and advanced analytic modeling techniques.
About Circana
Circana is a leading advisor on the complexity of consumer behavior. Through superior technology, advanced analytics, cross-industry data, and deep expertise, we provide clarity that helps almost 7,000 of the world’s leading brands and retailers take action and unlock business growth. We understand more about the complete consumer, the complete store, and the complete wallet so our clients can go beyond the data to apply insights, ignite innovation, meet consumer demand, and outpace the competition. Learn more at circana.com.
Janine Marshall Circana janine.marshall@circana.com
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
