Gartner Research

CSP Digital Crisis Signals Opportunities for IT Service Providers

Published: 19 September 2014

ID: G00260700

Analyst(s): Jouni Forsman , Kamlesh Bhatia

Summary

The transformation of CSPs into digital service providers is an opportunity for IT service providers to assert themselves as partners in this change. IT service providers must adapt to changing CSP business priorities that target innovation and speed, in addition to efficiency and stability.

Table Of Contents
  • Impacts

Analysis

  • CSPs Seek Deeper Engagement From IT Service Providers for Their Digital Transformation

Impacts and Recommendations

  • Market opportunities, arising from CSP demands for better management of operations and new business models, are driving IT service providers to change the direction of their strategies, portfolios and internal organizations
  • CSP requirement for fast and continuous innovation will drive demand for bimodal IT sourcing, thus impacting the "one-size-fits-all" approach used by some service providers
  • Relative fragmentation of digital services will lead to more sourcing and vendor relationships, requiring service providers to realign their core competency to rapid collaboration and fast-paced business outcomes

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