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U.S. businesses spent $264.2 billion on information and communication technology (ICT) equipment and computer software in 2007, a 4.4 percent increase over 2006, according to the U.S. Census Bureau.
Each year, the Census Bureau publishes sector-level data from its Information and Communication Technology Survey for noncapitalized and capitalized spending as a supplement to the Annual Capital Expenditures Survey. Noncapitalized expenditures are written off in the same year in which they are made, while capitalized expenditures are usually depreciated over time.
Noncapitalized expenditures made up 35.7 percent, or $94.4 billion, of spending on ICT equipment. Capitalized spending accounted for 64.3 percent of total spending, or $169.8 billion, a 5.9 percent increase from 2006.
Among noncapitalized expenditures, purchases of ICT equipment accounted for $20.2 billion (21.4 percent), an increase of 7.0 percent from 2006; operating leases and rental payments accounted for $17.8 billion (18.8 percent); and computer software expenditures accounted for $56.4 billion (59.7 percent).
Of total capitalized spending in 2007, purchases of ICT equipment accounted for $106.5 billion, an increase of 5.3 percent from 2006. Capitalized purchases and payroll for developing software accounted for $63.3 billion, an increase of 6.8 percent from 2006.
Data in the report are subject to sampling variability as well as nonsampling errors. Sources of nonsampling error include errors of response, nonreporting and coverage. More details concerning survey design, methodology and data limitations are provided in the full report, which is available online at <www.census.gov/econ/ict/>.