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U.S. Enterprises Want Managed Cybersecurity, Rapid Transformation from Data Center and Cloud Vendors

ISG Provider Lens Report Sees U.S. Businesses Looking for Vendors to Help Them Achieve ROI in Their Move to the Cloud

U.S. enterprises are looking for data center and cloud outsourcing vendors that can provide managed cybersecurity services and help them adapt to rapidly changing market conditions, according to a new report published by Information Services Group, a leading global technology research and advisory firm.

The 2019 ISG Provider Lens Private/Hybrid Cloud Data Center Services & Solutions Report for the U.S. finds many U.S. enterprises embracing a software-as-a-service model for securing their entire infrastructure, including the cloud. Echoing demands from the global cloud and data center market, U.S. enterprises also are looking for vendors that can help them rapidly evolve their IT operations, the report said.

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“The data center transformation industry is becoming increasingly complex with a growing demand for hybrid cloud solutions and a general reluctance to move everything to the cloud,” said Esteban Herrera, partner and global leader of ISG Research. “Enterprises are ready to develop new applications for the private or public cloud, but generally prefer to keep critical and traditional workloads in an on-premises data center. This means they need to rapidly evolve their outsourcing engagements in IT managed services to strike the right strategic balance among stakeholders.”

In some cases, U.S. businesses are struggling to realize quick returns on investment when they move to a cloud computing model, the report says. While cloud computing can eliminate or minimize hardware infrastructure, some enterprises need outside expertise to help them plan and capitalize on their cloud investments.

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A separate study from ISG Research, the ISG Insights Enterprise Cloud Transformation Report, released July 11, found less than six percent of companies surveyed by ISG say they have a Cloud Entry Framework (CEF), a plan that lays the foundation for how, when and where different applications will migrate to the cloud.

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Many U.S. enterprises are turning to providers to help them roll out artificial intelligence for IT operations (AIOps) to automate commoditized IT infrastructure and software maintenance as a way to reduce labor-intensive intervention for mundane tasks. They also are seeking hyper-converged infrastructure (HCI) solutions to enable true digital transformation, with implementation of HCIs doubling in the last year, the report said.

In addition, container technology is growing in popularity for U.S. enterprises, especially for mission-critical applications in financial, educational, and media and communications organizations.

The 2019 ISG Provider Lens™ Private/Hybrid Cloud Data Center Services & Solutions Report for the U.S. evaluates the capabilities of 36 providers across four quadrants: Managed Services and Transformation, Managed Security Services, Managed Containers as a Service (CaaS) and Managed Hosting.

The report names IBM as a leader in all four quadrants, while Accenture, Cognizant and DXC are leaders in three. NTT is a leader in two quadrants, and Atos, HCL, NTT DATA, Rackspace, Secureworks, TCS, Trustwave and Wipro are named as leaders in one quadrant.

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