Canada Markets closed
  • S&P/TSX

    21,058.18
    -146.98 (-0.69%)
     
  • S&P 500

    4,482.73
    -50.03 (-1.10%)
     
  • DOW

    34,715.39
    -313.26 (-0.89%)
     
  • CAD/USD

    0.8010
    +0.0015 (+0.1938%)
     
  • CRUDE OIL

    86.91
    -0.05 (-0.06%)
     
  • BTC-CAD

    53,114.34
    +566.47 (+1.08%)
     
  • CMC Crypto 200

    1,008.00
    +12.74 (+1.28%)
     
  • GOLD FUTURES

    1,847.80
    +4.60 (+0.25%)
     
  • RUSSELL 2000

    2,083.13
    +20.35 (+0.99%)
     
  • 10-Yr Bond

    1.8330
    +0.0060 (+0.33%)
     
  • NASDAQ

    14,154.02
    -186.23 (-1.30%)
     
  • VOLATILITY

    22.17
    -1.68 (-7.04%)
     
  • FTSE

    7,558.65
    -31.01 (-0.41%)
     
  • NIKKEI 225

    27,772.93
    +305.70 (+1.11%)
     
  • CAD/EUR

    0.7067
    +0.0022 (+0.31%)
     

U.K. Enterprises Seek Help with ‘Cloud-First’ Approach

  • Oops!
    Something went wrong.
    Please try again later.
·6 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • III

ISG Provider Lens™ report sees enterprises turning to service providers as interest in public cloud grows significantly in the U.K.

LONDON, November 30, 2021--(BUSINESS WIRE)--Enterprises in the U.K. are increasingly embracing a cloud-first approach to their IT investments and are looking to service providers to help them migrate more of their workloads to the public cloud, according to a new report published today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

The 2021 ISG Provider Lens™ Public Cloud – Services & Solutions Report for the U.K. finds many large U.K. enterprises interested in hybrid cloud environments, which enable continued use of legacy IT systems, even though an increasing number of companies anticipate a time when they would migrate all of their IT assets to the cloud. Small and medium-sized enterprises, meanwhile, are looking at infrastructure-as-a-service (IaaS) options to replace their depreciated hardware assets.

The move to the cloud is expected to be the primary driver of IT market growth in the U.K. in the coming years, said Jan Erik Aase, partner and global leader, ISG Provider Lens Research.

"Even if ‘cloud-everything’ is still out of reach for many U.K. enterprises, the momentum is growing, with many companies increasingly migrating more of their IT workloads to the cloud and taking on more complex migration projects," he said.

Businesses across the U.K. are seeing the value of cloud services and solutions to better meet customer needs, the report says. The COVID-19 pandemic has pushed many to consider public cloud services, as customer buying behavior has shifted from physical to digital shopping. Companies see cloud adoption as a way to stay competitive in the global market.

A growing number of U.K. companies are focused on implementing a multicloud approach. Many are outsourcing their multicloud environments and classic data centers to global and regional IT service providers, the report adds. By selecting the right technology and business partners, companies are able to focus on their core business functions and business expansion plans. In many cases, cost reduction is the primary driver for U.K. businesses to outsource their cloud services.

The report also sees a demand for integrated AI-led cloud managed services from U.K. enterprises. Managed services are growing in importance as businesses look to multicloud setups to drive their digital transformation journeys. Enterprises do not wish to limit themselves to just one hyperscaler, because each one has particular strengths and different pricing; instead, they are more interested in creating the right partner ecosystem involving several cloud platforms and service providers.

There are some barriers to a multicloud setup, the report adds. Companies often seek help with orchestration, which involves several moving parts in a complex setup to be operated in the public cloud. Enterprises are also worried about public cloud vendor lock-in and about interoperability between two or more cloud providers.

The report also notes that the U.K. government is focused on building a world-class digital economy, with hyperscaler cloud providers becoming increasingly important in the public sector’s digital plans.

The report sees public cloud service providers in the U.K. moving away from pricing based on time and materials and on key responsibility areas, with more service-level agreements now featuring output-based pricing. Under these SLAs, clients pay for the results obtained during the engagement. The trend toward outcome-based pricing is expected to continue as service providers face fierce competition.

The 2021 ISG Provider Lens™ Public Cloud – Services & Solutions Report for the U.K. evaluates the capabilities of 55 providers across six quadrants: Consulting and Transformational Services for Large Accounts, Consulting and Transformational Services for the Midmarket, Managed Public Cloud Services for Large Accounts, Managed Public Cloud Services for the Midmarket, Hyperscale Infrastructure and Platform Services, and SAP HANA Infrastructure Services.

The report names Rackspace Technology as a Leader in three quadrants and Accenture, Atos, AWS, CANCOM (Telefonica Tech), Capgemini, Claranet, Coforge, Computacenter, Ensono, Fujitsu, HCL, Hexaware, IBM, Infosys, Microsoft, TCS and Wipro as Leaders in two. Cloudreach, Cognizant, Google, Tech Mahindra and Unisys are named Leaders in one quadrant.

In addition, Mindtree was named a Rising Star—a company with "promising portfolios" and "high future potential" by ISG’s definition—in two quadrants. Claranet, Computacenter, N-iX, Rackspace Technology and Tech Mahindra are named Rising Stars in one quadrant.

Customized versions of the report are available from AWS, Claranet, N-iX and Unisys.

The 2021 ISG Provider Lens™ Public Cloud – Services & Solutions Report for the U.K. is available to 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, as well as in the U.S., Germany, Switzerland, the U.K., France, the Nordics, Brazil and Australia/New Zealand, with additional markets to be added in the future. For more information about ISG Provider Lens research, please visit this webpage.

A companion research series, the ISG Provider Lens Archetype reports, 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 75 of the world’s top 100 enterprises, 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.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211130005703/en/

Contacts

Press Contacts:

Will Thoretz, ISG
+1 203 517 3119
will.thoretz@isg-one.com

Kate Hartley, Carrot Communications for ISG
+44 (0)20 3457 6403
kate.hartley@carrotcomms.co.uk

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting