SMBs Don’t Lose Money on IT Because of Technology
They Lose It Because of Timing and Visibility
One of the biggest misconceptions in IT is that rising costs are unavoidable and therefore an unavoidable pain. The reality is more nuanced.
Yes, hardware prices fluctuate. Yes, software vendors raise prices. Yes, licensing models are becoming more complex. But what consistently hurts small and mid-sized businesses (SMBs) isn’t the increase itself; it’s learning about it too late.
We’re seeing this play out in real time.
Top 3 red flags for IT budgets this year:
- Hardware
Over the past several months, the cost of memory (RAM and SSD storage) and other PC components has risen sharply, and industry analysts expect this trend to continue into 2026. This is being driven largely by unprecedented demand from AI data centers, which are consuming a growing share of the world’s DRAM and high-bandwidth memory production.
In addition to component-level cost increases, major PC manufacturers have formally warned customers about upcoming system price hikes. Dell began notifying customers in Dec 2025 that prices for many PCs and laptops will rise by roughly 15–20%, largely due to soaring DRAM costs that now represent a much larger share of each system’s bill of materials. Lenovo and HP are also signaling that 2026 will be a more expensive year for new PCs, with Lenovo advising that new pricing will reflect higher memory and storage costs.
Market researchers note that these OEM price increases are a direct response to the same AI-driven memory crunch, and that customers should expect higher quotes and fewer discounts on new systems moving into 2026.
- Licensing
Microsoft’s upcoming pricing changes in 2026, its first major increase since 2022, combined with earlier adjustments that incentivize annual upfront payments, are pushing organizations to reassess how they license and consume technology.
While Microsoft has added significant value across its platform, not every organization needs every feature. The risk for SMBs isn’t the increase; it’s being automatically moved into higher-cost licensing without reassessing fit.
The right conversation isn’t “What’s Microsoft charging now?” It’s “What does our business actually need?”
- Infrastructure & Licensing
Add in recent VMware licensing changes tied directly to infrastructure requirements, the financial stakes get very real, very fast.
In some cases, organizations in Wisconsin and across the country have seen costs jump from hundreds to tens of thousands of dollars, not because they grew, but because no one flagged what was coming. VMware is one real recent example. If you’re using it in your business, and your IT partner or team hasn’t looked into it or brought you up to speed about the changes, feel free to give us a call for a free assessment on this.
See below a summary of VMware pricing structure and changes for a small to medium size business.
This is no longer just an IT issue; it’s a budget and risk management issue. If your Manager IT provider isn’t tracking these changes or flagging renewal implications well in advance, the cost shows up where it hurts most: the bottom line.
This is where IT strategy matters more than IT support.
True IT partnership isn’t about reacting to problems; it’s about anticipating change, explaining impact, and presenting options before decisions are forced.
For SMBs, that kind of advocacy is critical. Large vendors optimize for scale. SMBs need someone to optimize for them.
How Ontech supports businesses in Wisconsin
At Ontech Systems, we see our role as bridging that gap by helping businesses in Wisconsin navigate pricing changes, licensing shifts, and infrastructure decisions with confidence. Our role at Ontech is to translate complexity into clarity and protect businesses from unnecessary financial surprises.
How we do it
At Ontech we take hardware price increases seriously. We care about your business, as we care about communities in WI.
- We pre-stock a selection of standardized desktops and laptops so that common configurations are on hand and ready to deploy
- We expanded our hardware options to include business-grade refurbished computers sourced from vetted partners. Refurbished business desktops and laptops are typically 30–50% less expensive than new systems while still meeting the performance and reliability needs of most office workloads. Reputable refurbishers thoroughly test, clean, and recondition systems, and pair them with warranties of up to three years, providing similar peace of mind to new hardware at a lower cost.
This approach is designed to reduce lead times, avoid last-minute surprises from sudden vendor price changes, and speed up the ordering and provisioning process for typical user refreshes and new hires.
On the licensing and infrastructure front we actively manage your entire portfolio.
- We map every license your business has, and dedicated account managers revisit IT budget and strategy plans well ahead of time.
- We meet with the business owner and/or internal IT stakeholders and decide on the best course of action for your business.
- Proactive account management is there for your year-round to navigate infrastructure and licensing needs like the VMware example, in advance, so your business has time to prepare and execute.
Technology will continue to evolve. Costs will continue to change. The advantage doesn’t belong to the biggest businesses. It belongs to the ones who see what’s coming.
Ontech Systems, Inc. is the “middleman for the little man.” Request a proposal to partner with Ontech today and stay ahead of the pricing blows.
Article written with information available by Jan 12th 2026.
