Gartner Research

Market Opportunity Map: Infrastructure Outsourcing and Managed Services, Worldwide

Published: 17 May 2017

ID: G00314754

Analyst(s): Fred Ng, Arup Roy , Dean Blackmore , Sandra Notardonato

Summary

Cloud cannibalization, automation, intense competition, and digital business will reshape the IT outsourcing market. Technology business unit leaders have four top actions required to drive profitable growth in infrastructure outsourcing.

Table Of Contents

Market Opportunity Map

Market Opportunities Overview

  • Definition and Scope
  • Description of Markets
    • Changing Infrastructure Outsourcing Landscape

Analysis

  • Technology Trends
    • Service Delivery Automation Will Provide Opportunities for Margin Expansion or More Aggressive Pricing for New Business
    • Cloud-Based Services' Cannibalization of Traditional Services to Intensify
  • Buyer Trends
    • Customers' Preference for Cloud-Based Services and Increased Expectations for Cost Optimization Are Presenting Opportunities for Providers That Can Address These From the Start
    • Buyers Are Searching for Opportunities to Redirect Budget to Digital Business/IoT
    • Buyers Expect a Reduction of Cost of Services and Expect Improvements in Service Quality
    • Buyers Are Increasingly Moving to Hybrid Infrastructure, Resulting in Greater Complexity and Risk
    • Bundling of Services Is Leading to Vendor Consolidation; Buyers Are More Likely to Displace Incumbents at Renewals
  • Sellers' Strategic Options
    • Reposition Your Business Value Proposition With Managed Service Offerings to Complement Leading Cloud-Based Services to Avoid Being Disintermediated as Customers Migrate to Cloud
    • Business Unit Leaders Must Exploit Automation to Maintain Cost and Offering Competitiveness
    • Exploit Opportunities to Become a Leader in Managed IoT Services or Risk Being Sidelined by Competitors That Do
    • Acquisitions Need to Be Driven by Capability Grabs and Not Scale Grabs
    • Create Sales Propositions Based on Customers' Business Outcomes

Vendors to Watch

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