IT investments face a leaner, slimmer future but the companies that master IT investment cost optimization will emerge with better ROI on their investments. IT investments are positioned as so essential to core operations and integral to business success that they often remain remarkably resistant to cutbacks, even in economic downturns. Although IT investment budgets can seem vague, they do need to be rigorously scrutinized because waste is built into them. In general, companies overspend on IT because they are unwilling to say no to business and IT. Instead, executives along with their IT and division leaders need to face some truths about what drives up IT investment costs.