Especially during an economic downturn, competitive businesses must carefully weigh the value of any technology investments they make. The most savvy companies are positioning themselves for recovery, but they are not planning exorbitant investments. In fact, most of the investments IT leaders foresee are in line with the current emphasis on cost savings.

Following are some of the areas expected to drive IT investment:

Information security: Companies of all sizes increasingly recognize the importance of reputation damage and the loss of proprietary business intelligence.

Virtualization: As cost concerns merge with environmental initiatives, firms are considering the benefits of virtualization in several contexts. Many companies seek professionals who can help them protect hardware investments and reduce space and power requirements.

Voice over Internet Protocol (VoIP): Businesses are investing in VoIP to lower their phone bills, increase network flexibility and establish unified messaging.

Software as a Service (SaaS): Subscribing to SaaS rather than purchasing software licenses is a particularly attractive option for businesses with tight IT budgets. Many firms are evaluating the potential cost savings of SaaS.

Business intelligence: Many companies view the information they maintain as a key source of competitive success. They are investing in innovative ways to leverage that data more strategically.

Since several of these trends will require supplemental expertise, they are also likely to affect IT hiring activity.