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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

STAMFORD, Conn., July 23, 2019 /PRNewswire/ -- 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 today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

The 2019 ISG Provider LensPrivate/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.

"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.

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.

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 LensPrivate/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.

The 2019 ISG Provider LensPrivate/Hybrid Cloud — Data Center Services & Solutions Report for the U.S. is available to ISG Insights™ subscribers or for one-time purchase on this webpage.

About ISG Provider Lens™ Research

The ISG Provider Lens™ Quadrant research series is the only service provider evaluation of its kind to combine empirical, data-driven research and market analysis with the real-world experience and observations of ISG's global advisory team. Enterprises will find a wealth of detailed data and market analysis to help guide their selection of appropriate sourcing partners, while ISG advisors use the reports to validate their own market knowledge and make recommendations to ISG's enterprise clients. The research currently covers providers offering their services globally, across Europe and Latin America, as well as in the U.S., Germany, the U.K., the Nordics and Brazil, with additional markets to be added in the future. For more information about ISG Provider Lens research, please visit this webpage.

The series is a complement to the ISG Provider Lens Archetype reports, which offer a first-of-its-kind evaluation of providers from the perspective of specific buyer types.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 700 clients, including more than 70 of the top 100 enterprises in the world, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,300 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry's most comprehensive marketplace data. For more information, visit www.isg-one.com.


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