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Nordic Enterprises Flock to Fast, Green Cloud Services

High-performance network links and abundant sustainable power enable Nordic providers to meet growing demand for services, ISG Provider Lens™ report says

Readily available green energy and high-speed connectivity allow private and hybrid cloud providers in the Nordics to deliver a growing portfolio of services to meet enterprise needs, according to a new research report published today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

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The 2022 ISG Provider Lens™ Next-Gen Private/Hybrid Cloud — Data Center Services and Solutions report for the Nordics finds sustainable energy at low rates is helping Nordic providers both contain costs and support enterprises’ increasingly important environmental, social and governance (ESG) initiatives. The ample supply of high-speed, low-latency network links to major European data centers adds to the strength of Nordic providers’ offerings.

“Connectivity and sustainability are high on the list of what many enterprises want from cloud providers,” said Anna Medkouri, partner, technology modernization, ISG EMEA. “The leading Nordic providers are well-positioned to deliver those benefits.”

Fast, secure and reliable networks help data-center operators in the Nordics establish edge computing managed services and managed hosting solutions in the region, the report says. In most cases, the data center providers are network-agnostic, giving their clients choice and flexibility.

Enterprises in the region are motivated to use alternative energy sources and reduce their carbon footprints, in some cases by government programs, such as tax incentives in Sweden, ISG says. Providers are moving in the same direction. For example, one provider in Denmark has begun using offshore wind power to run its data centers, and others are recovering waste heat from their facilities to heat nearby homes.

In addition, Nordic enterprises are turning to service providers for assistance in deploying technologies that improve operations and help them achieve their goals. More providers are considering automation tools such as AI, bots, machine learning and software-defined infrastructure to support their managed services. Also, with the emergence of the European GDPR law and other data standards, Nordic governments and non-governmental organizations are increasingly interested in establishing sovereign clouds.

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“Data management and privacy concerns are reshaping the cloud strategies of highly sensitive organizations,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “Many Nordic service providers are stepping up with sovereign cloud managed services.”

The report also explores a wide range of other private/hybrid cloud trends in the Nordics, including mainframe modernization services, mergers and acquisitions, and collaboration among providers.

The 2022 ISG Provider Lens™ Next-Gen Private/Hybrid Cloud — Data Center Services and Solutions report for the Nordics evaluates the capabilities of 54 providers across four quadrants: Managed Services for Large Accounts, Managed Services for Midmarket, Managed Hosting, and Colocation Services.

The report names Basefarm (Orange Business Services) and Tietoevry as Leaders in three quadrants each. It names CGI, Fujitsu, Kyndryl and T-Systems as Leaders in two quadrants each. Accenture, ATEA, Bulk Infrastructure, Capgemini, Digital Realty, Equinix, Ficolo, HCL, LTI, Lumen, Sopra Steria, Stack Infrastructure, TCS and Wipro are named as Leaders in one quadrant each.

In addition, Advania and Tech Mahindra are named as Rising Stars — companies with a “promising portfolio” and “high future potential” by ISG’s definition — in one quadrant each.

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[To share your insights with us, please write to sghosh@martechseries.com]

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