This IDC Presentation provides an update on U.S. SMB IT spending through 2015 with total spending and year-to-year growth detail for both small businesses (firms with fewer than 100 employees) and midsize firms (those with 100–999 employees). Based on just-completed survey research, the 2011 share of IT spending is presented for hardware, software, and services. Services spending is broken down further by networking services (like network design, Web hosting, and wireless mobility services), application services (like app outsourcing and implementation), infrastructure services (like offsite data storage and disaster recovery), and business process outsourcing (like HR, procurement, and call center). The presentation also includes an update of cloud computing adoption and plans for both small and midsize firms. Use of and plans for both public and private cloud services are examined separately. Factors encouraging and discouraging cloud adoption are also discussed.