Vietnam, along with China, India and Indonesia, is expected to have a continued surge in investments for software despite the global recession, according to a report from the International Data Corporation (IDC).

The study also said that more than one-third of Asia/Pacific companies had intentions to increase their spending on software while only 6.1 per cent intended to reduce their investments in this area over the next 18 months.

"The results are encouraging," said Wilvin Chee, Research Director, Asia/Pacific Software Research at the IDC. "Many companies are particularly interested in solutions that can play an integral role in improving performance and automation efficiency within the infrastructure environment."

The increase in infrastructure management and database software spending could see some re-allocation of budget away from business applications.

While an on-premise subscription model remained the dominant option for most companies in the region, due to better control over reliability and security, the survey found that more companies had warmed up to the idea of alternate models such as software-as-a-service or open source.

Open source is gaining traction thanks to its many benefits such as low up-front investments, no lock-in period and access to code modifications.

Although cost considerations remain the prime factor when making decisions on software investments, the study reveals that companies are not as tolerant towards poor support services or complex product features.