EMC, the storage giant which owns Documentum, reported a record quarter. This surprised many people, considering the U.S. economy has been slowing dramatically. The company did predict, however, that IT spending would slow down over the next 12-18 months and that it's likely the slow down would have an impact on company profits.

That's a smart bet, no doubt, but even with that prediction, eWeek reported that analysts are still optimistic that EMC will continue to make money in a tough economy. It should be interesting to see if these predictions come to pass and how the overall economic picture will affect IT spending, in general, in the near term.

Chances are, companies will be looking closely at IT spending, taking care to prioritize projects based on need. Some projects will go forward, but companies may look for ways to reduce costs, perhaps looking at smaller vendors or exploring cloud computing options that require no infrastructure investment. How EMC will fare in such an environment is unclear, but it is diversified across a range of products and services, which could help insulate it as economic conditions shift and change.

For more information:
- read this eWeek article [1]

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Len Devanna discusses EMC's Web 2.0 strategy [2]
EMC launches Documentum ECM 6.5 [3]
Major ECM vendors send content sharing standard to OASIS today [4]