Two in five small to medium businesses (SMBs) say virtualisation is the best way to bypass a potential recession.

Of 100 companies questioned by internet service provider Star, 43 per cent cited virtualisation tools as a key way to protect their organisation from the current economic climate. A further 21 per cent of respondents said that a converged approach to new technologies was the best strategy for dealing with the situation.

The availability of broadband was the most important factor for 17 per of respondents, while 10 per cent believed new Web 2.0 technologies would play an important role in battling economic instability.

"One of the biggest challenges facing small businesses today is access to finance, so as the economic slowdown continues, the number one priority is to do more with less, making the most of existing technology investments and using technology to respond quickly to changing business conditions,” said Ben White, chief executive of Star. “Virtualisation helps achieve those business needs."

The ability to 'work smarter' was the most powerful driver behind making new technology purchases, as cited by 43 per cent of those questioned.