ISG Provider Lens â¢ Report Finds Mature, Reliable Migration Tools Also Make Organizations More Comfortable With Moving Workloads Away From Internal Infrastructure
STAMFORD, Connecticut, June 29, 2021– (BUSINESS WIRE) – U.S. businesses have stepped up their adoption of private and hybrid clouds over the past year, sometimes choosing them over public clouds, according to a new report released today by Information Services Group ( ISG) (Nasdaq: III), one of the world’s leading technology research and consulting firms.
This trend comes as the use of IT outsourcing has grown, with many US companies turning to managed services, managed hosting and colocation services as they seek new ways of doing business. in response to the COVID-19 crisis, provider ISG 2021 target.â¢ Next Generation Private / Hybrid Cloud – Report on Data Center Services and Solutions for Discovery in the United States. ISG expects the use of outsourcing by companies to continue to grow.
The ISG Index â¢ shows that infrastructure as a service (IaaS) spending in the first quarter of 2021 increased 18% to a new world record of $ 7.2 billion in annual contract value (ACV), a trend reflected in the Americas, which saw IaaS increase 14 percent, to a new high of $ 3.5 billion CVA.
After freezing their outsourcing programs in the first few months of the pandemic, companies began to scale their IT operations to deliver virtually everything, and many who had never used outsourcing before began to explore this. year, the report says.
“In the United States, businesses are starting to see that IT infrastructure management outsourcing can help them realign IT to business goals,” said Jan Erik Aase, Partner and Global Leader , ISG Provider Lens Research. “It can also give them access to IT skills that are not often found in traditional IT departments. We expect companies to continue to increase their use of outsourcing.”
U.S. businesses are embracing cloud infrastructure and managed services in part because more mature technologies are making the leap easier, according to the report. Tools for assessing, planning, and automating cloud migrations have become reliable enough for businesses to get the results they want. It also becomes easier to understand the potential benefits of the cloud and choose which workloads to migrate and which to keep on existing infrastructure.
When choosing outsourcing providers, many US companies focus on flexibility, according to ISG. They look for suppliers who can scale up or scale back resources based on customer needs and quickly restructure teams as needed. Suppliers must be able to accept and adapt to the client’s business ethics and provide offshore developer teams that can easily fit into the internal team.
Close partnerships are becoming increasingly important as companies realize the challenges of finding reliable partners and building productive relationships, according to the report. The recent trend for companies to outsource an infrastructure assignment to multiple vendors is fading in favor of choosing one or two partners for a complete managed services solution that meets all infrastructure requirements. This reduces risk and can reduce costs, according to ISG. In addition, companies favor suppliers who have strategic relationships with large technology providers.
ISG 2021 supplier objectiveâ¢ The Next-Gen Private / Hybrid Cloud – Data Center Services & Solutions for the United States report assesses the capabilities of 57 vendors in four quadrants: Managed Services for Large Accounts, Managed Services for Midmarket, Managed Hosting and Colocation Services.
The report names Ensono, IBM and Rackspace Technology as leaders in two quadrants each. He appoints Accenture, Capgemini, Cognizant, CoreSite, CyrusOne, Cyxtera, DataBank, Digital Realty, DXC Technology, Equinix, HCL, Hexaware, Infosys, Lumen, Mphasis, NTT Ltd., TCS, Unisys, Wipro and Zensar as leaders in a quadrant each.
In addition, Mindtree, QTS and Rackspace Technology are named Rising Stars – companies with a âpromising portfolioâ and âhigh future potentialâ as defined by ISG – in one quadrant each.
A customized version of the report is available from Hexaware.
ISG 2021 supplier objectiveâ¢ The Next-Gen Private / Hybrid Cloud – Data Center Services & Solutions for USA report is available for subscribers or for a one-time purchase on this webpage.
About ISG Provider Lens â¢ Research
The ISG Provider Lens â¢ Quadrant research series is the only service provider assessment of its kind to combine empirical and data-driven research and market analysis with the real-world experience and observations of the advisory team. world of ISG. Companies will find a wealth of in-depth data and market analysis to help them select suitable sourcing partners, while ISG advisors will use the reports to validate their own market knowledge and make recommendations to corporate clients. ISG. The research currently covers providers offering their services around the world, in Europe, as well as in the United States, Germany, Switzerland, United Kingdom, France, the Nordic countries, Brazil and Australia / New Zealand, with additional markets to be added in the future. For more information on ISG Provider Lens research, please visit this webpage.
A supporting body of research, the ISG Provider Lens Archetype reports, offers an unprecedented assessment of suppliers from the perspective of specific types of buyers.
ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and consulting company. A trusted business partner of more than 700 customers, including more than 75 of the world’s 100 largest companies, ISG is committed to helping businesses, public sector organizations, and service and technology providers achieve operational excellence. and faster growth. The company specializes in digital transformation services including automation, cloud and data analytics; procurement advice; managed governance and risk management services; network operator services; design of strategy and operations; change management; market intelligence and technology research and analysis. Founded in 2006, and headquartered in Stamford, Connecticut, ISG employs more than 1,300 digitally ready professionals operating in more than 20 countries â a global team known for their innovative thinking, market influence, deep industrial and technological expertise. , and its world-class expertise. Industry’s most comprehensive market data-driven research and analysis capabilities. For more information, visit www.isg-one.com.
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Will Thoretz, ISG
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Erik Arvidson, Matter Communications for ISG
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