Mid-Year IT Services CIO Survey Says...

Research evidence excerpt

Mid-Year IT Services CIO Survey Says...

Equity Research

Multi Company Update — June 11, 2026

Payments, Processors, and IT Services

Our Call Jason Kupferberg

Mid-Year IT Services CIO Survey suggests generally healthy spending trends, but ME Equity Analyst | Wells Fargo Securities, LLC

Jason.Kupferberg@wellsfargo.com | 212-214-5457

conflict could result in delayed decision-making. Enterprises continue to engage in AI

Tyler DuPont, CFAinitiatives, which are expected to provide a net tailwind for IT Services revs.

Associate Equity Analyst | Wells Fargo Securities, LLC

Tyler.J.Dupont@wellsfargo.com | 212-214-5431

Key takes from Mid-Year IT Services Survey: 1) YTD, 34% of respondents have spent Cassie Chan

more on services vs. expectations at beginning of year (only 19% have spent less). 2) ME Equity Analyst | Wells Fargo Securities, LLC

conflict likely to impact 47% of respondents' IT Services spending plans; 3) 57% expect Cassie.Chan@wellsfargo.com | 212-214-5331

discretionary spend to be constrained through '26; 4) 80% of respondents' enterprises are Melissa Chen, CFA

still in early or middle stages of cloud/digital transformations; 5) 63% expect AI to be net Associate Equity Analyst | Wells Fargo Securities, LLC

positive for IT Services spending. Melissa.Chen@wellsfargo.com | 212-214-5346

Solid spending trends YTD, but ME conflict adds uncertainty. We are encouraged to see

34% of respondents have experienced spending growth YTD above initial expectations

(47% are spending in-line). That said, for the balance of 2026, enterprise decision makers

anticipate level of spending similar to January survey expectations (Ex. 4-5). We believe

these cross-currents are due to war in ME, with 47% of respondents suggesting the

conflict has negatively impacted '26 spending plans.