REDMOND, Wash., June 23 /PRNewswire-FirstCall/ -- While many information technology (IT) professionals are investing in specific areas of IT infrastructure, 55 percent say the economy has changed the role of IT and 51 percent say that budget constraints are the biggest barrier to their innovation, according to a new study commissioned by Microsoft Corp. and conducted by Harris Interactive(R) Inc. The study results indicate that IT professionals in the U.S. are devoting less budget to innovation than their counterparts in the U.K., Japan and Germany.

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"Businesses that focus solely on reducing IT costs in this economy will not be as well positioned as those that develop new capabilities and solutions," said Bob Kelly, corporate vice president of infrastructure server marketing at Microsoft. "IT is uniquely capable of not only delivering bottom-line cost savings, but also providing innovative solutions that will help organizations weather the storm and thrive. Now, more than ever, IT is a strategic asset."

Innovation in a Challenging Economy

Of the four countries included in the study, the recession appears to make the biggest impact on IT innovation in the U.S. IT managers in Japan and the U.K. indicate they will devote 41 percent of their budgets toward innovation versus "keeping the lights on," or maintaining current systems. IT professionals in Germany plan to invest 35 percent, while their counterparts in the U.S. plan to spend only 29 percent on innovation. On average, IT professionals across all four countries say they will allocate 37 percent of their budgets to innovation in 2009. Only 22 percent of IT professionals cite giving the business a competitive edge as their current top priority.

"Companies that make smart investments in IT will gain a foundation for their business that empowers innovation, boosts productivity and, ultimately, helps improve the bottom line," Kelly said. "Investing in IT is a path to success, now and in the future."

The economy may also be diminishing investment in "green" IT innovation. Eighty-four percent of IT professionals consider green factors when making decisions about datacenters, but "green" plays into the final decision for only about half of those organizations (44 percent of the total).

Efficiency Versus Cost-Cutting

Though the economy seems to be affecting IT's ability to innovate, more survey participants are focused on driving business efficiency (48 percent) than on simply reducing IT costs (30 percent).