Share of spend

How are companies reallocating software budgets in 2026?

For SMBs, the most explosive shift is in Artificial Intelligence, where spend surged 276% year-over-year, now accounting for 4% of the total SaaS budget. These organizations are also doubling down on IT Management (+62%) and Analytics Tools (+34%), prioritizing the technical foundations needed to scale. Conversely, spend on legacy categories has plummeted; Customer Service dropped 46%, and Collaboration & Productivity fell 41%, suggesting SMBs are consolidating these functions into AI-first platforms or all-in-one suites.

Enterprises show a more measured but strategic transition.

While AI spend grew steady 48%, other big movers include Analytics Tools (+40%) and HR (+23%), reflecting a focus on data-driven decision-making and modernizing the employee experience. Design tools also saw a notable 21% increase in spend share. Meanwhile, larger organizations are pulling back on Marketing (-16%) and Project Management (-10%), likely as a result of portfolio consolidation and a shift toward more integrated enterprise resource planning.

Overall, these trends indicate that "the basics" (Collaboration and Customer Service) are being deprioritized in favor of intelligence and efficiency. Whether it’s SMBs automating IT management or Enterprises reinvesting in Analytics, the 2026 budget is being spent on tools that don't just facilitate work, but actively enhance it.

Last updated April 2026

Data source: These insights are derived from over $30bn of global processed spend managed by Vertice in 2026.