Gartner Research

Secure Future Infrastructure Opportunity Now by Making Product Lines Attractive to the Modern DC Infrastructure Buyer

Published: 23 March 2017

ID: G00323885

Analyst(s): Scot MacLellan


Infrastructure spending is shifting from premium infrastructure to lower-cost alternatives. Technology business unit leaders at incumbent vendors that refocus R&D investment, supply chain optimization and business models toward a midlevel product can find space to grow in a shrinking market.

Table Of Contents
  • Impacts


Impacts and Recommendations

  • The market for premium general-purpose DCI is diminishing, in favor of lower-cost alternatives, and not all incumbent vendors will survive if they all continue to fight for only the premium hardware market
  • The low-cost DCI space is covered by maturing hardware vendors with successful low-margin business models, leaving little opportunity for incumbent DCI vendors to compete in this space
  • Many customers do not have the skills or staff to set up and maintain DCI unaided, leaving a gap that the low-cost providers cannot cover

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