Gartner Research

Four Highly Disruptive Factors Will Challenge the Survival of Incumbent Data Center Market Vendors

Published: 26 August 2014

ID: G00269254

Analyst(s): Adrian O'Connell , Errol Rasit , Michael Warrilow , Roger W. Cox , Joe Skorupa , Jeffrey Cole

Summary

Gartner predicts that by year-end 2016, the DC market will undergo drastic change, driven by four disruptive factors: highly disruptive competition, big cloud provider dominance, economic warfare and nationalism. Vendor CxOs should use this research to understand and prepare for a new DC market.

Table Of Contents

Analysis

  • Background
  • The Disruptive Factors
    • Throw the First Punch — An Incumbent Disrupts the Margin/Business Model of Its Onetime Partners in Adjacent Markets
    • Dominance of the Big Cloud Providers — The End of Growth for Traditional DC Vendors
    • Economic Warfare — East vs. West for Market Control
    • Nationalism vs. Rationalism — The Snowden Effect Drives Severe Market Fragmentation
  • Next Steps

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