News: The Tor network's daily users have more than doubled between late July 2013 and late August 2013, reports The Register. The network, which anonymises internet traffic by routing it through a series of encrypted relays, has seen a surge in the number of users from an average of 500,000 to 1.2mn daily users. It is not clear what has caused the dramatic increase in the number of users but it could be linked to the recent revelations about the activities of security agencies in the US and UK, especially in relation to spying on internet traffic.
BMI View: The UK IT market is being squeezed by fiscal austerity measures, fragile business and consumer confidence, and a decline in desktop and notebook shipments. However, there are areas of growth that are offsetting these pressures, such as demand for tablets, investment in datacentres and uptake of cloud computing services. Taking these factors into account UK IT spending is forecast to increase 2.2% to GBP53.339bn in 2013, a turnaround from the 0.6% contraction in 2012. The IT market should see improvements as the economy moves further out of recession over the medium term and we expect total spending will reach GBP59.975bn by 2017. There is, however, downside to this outlook, with flashpoints in the eurozone, including Spanish refinancing requirements, potentially derailing the UK recovery.