Despite a backdrop of market turbulence and geopolitical tensions, the tech sector has displayed an almost unshakeable confidence. Two-thirds of tech companies expect their revenues to grow over the next year, with more than a third forecasting increases of 6% or higher. This is calculated and grounded in innovation, adaptability, and forward-thinking leadership.
Now, consider the broader economic environment. Post-pandemic recovery has been slow, and inflation has gripped several key markets. Yet, tech companies (whether small startups or multibillion-dollar giants) have shown they can thrive under pressure. The numbers back this up too. The 2024 Tech Index hit a confidence score of 71, the highest in its history. It’s a statement, with regions like North America, Latin America, and Africa leading.
If anything, these numbers prove that while other industries are fighting to stay afloat, tech is finding its way through the storm with agility and a clear vision for the future.
AI is a primary growth driver
Artificial intelligence has become the engine driving the next chapter of the tech industry’s story. According to the survey, 63% of executives around the world see AI as their top growth priority. In Europe, that number jumps to a remarkable 72%. Clearly, there’s a collective understanding of AI’s immense potential, not just for innovation, but also for transforming how we live and work.
The enthusiasm isn’t misplaced either. AI is already proving itself in real-world applications, from automating repetitive tasks to improving decision-making in industries as diverse as healthcare, finance, and logistics. European firms, in particular, are positioning themselves at the leading edge of this wave, doubling down on AI investments and development.
For the tech leaders of today, AI is proving to be a tangible opportunity to redefine their businesses—and the world—on a massive scale.
Confidence in venture capital, talent, and regulatory support
Let’s address three essential ingredients for tech success: capital, talent, and regulation. Historically, regulations have been a sore spot, seen as red tape that slows down progress. But that mindset is shifting. In the survey, 75% of participants described the regulatory environment as favorable to growth. Many are seeing it as a sign of maturity in the sector.
The optimism doesn’t stop there either. Venture capital markets remain robust, fueling innovation and funding breakthroughs. At the same time, availability of top-tier talent is keeping pipelines strong. Tech leaders are recognizing that clear and predictable regulations provide a stable foundation for scaling new ideas without the fear of unexpected roadblocks.
This blend of accessible funding, skilled talent, and sensible governance is creating fertile ground for businesses to scale responsibly while still innovating at the edge.
Geopolitical concerns and their impact on this confidence
Even in a sector as optimistic as tech, there are still limits. The survey showed that geopolitical tensions are weighing on confidence, with a noticeable drop to a score of 53 when discussing issues like trade relationships and international conflicts. It’s not hard to see why—wars, trade barriers, and shifting alliances can disrupt supply chains, market access, and collaboration.
This cautiousness is especially evident in regions like the Middle East, Europe, and Asia Pacific, where international complexities are more acutely felt. While these challenges are significant, they’re not insurmountable. The tech sector has proven time and again that it can adapt to uncertainty, but there’s no denying that the road ahead will require adopting a cautious approach.
A shift toward disciplined growth and adaptability
Gone are the days of reckless expansion. Today’s tech leaders are playing it smarter today, prioritizing sustainability over short-term gains. After weathering challenges like the pandemic and global supply chain disruptions, companies are now refining and sharpening their strategies, investing wisely (particularly in AI and digital transformation) and emphasizing calculated risks over unchecked ambition.
This isn’t a pull back, but rather about growing intelligently. Focusing on adaptability and carefully evaluating new opportunities, businesses are setting themselves up for long-term success.
Insights from the 2024 Tech Index global survey
For the first time, the 2024 Tech Index captured insights on a truly global scale, surveying 1,200 executives across six regions. North America, Latin America, and Africa emerged as hubs of optimism, while regions like the Middle East, Europe, and Asia Pacific displayed a more measured outlook.
Mark O’Conor, Global Co-Chair of DLA Piper’s Tech sector, summed it up well, “This report offers a truly global perspective on the tech sector, drawing insights from industry leaders and policymakers worldwide.”
