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Midmarket Businesses in the Americas Make Bold Move to the Cloud
[January 09, 2019]

Midmarket Businesses in the Americas Make Bold Move to the Cloud


STAMFORD, Conn., Jan. 9, 2019 /PRNewswire/ -- Small and mid-sized businesses across the Americas are making bold moves to the cloud as a way to compete with larger enterprises, according to a new report published today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

The ISG Provider LensCloud Transformation/Operation Services & XaaS Report – Pan America finds many large enterprises are struggling to exchange their "legacy crown jewel" IT systems for more innovative business models. But smaller businesses see the cloud as offering them easily available and affordable tools, including analytics and cognitive computing, the report said.

"Infrastructure costs and access to technology were once barriers to competition, but the cloud allows access to a broad range of software, platforms and services," said Esteban Herrera, partner and global leader of ISG Research.

The latest ISG Provider Lens report covers cloud service provision in 17 markets across the Americas. Besides the developed markets of the U.S. and Canada, the report also covers nine South American countries, four Central American countries and Mexico. These developing markets face difficulties in funding technology investments, the report notes, but cloud services "free enterprises from costly infrastructure investment and allow companies of any size to improve production and, in the long term, improve economic equality."

Many large enterprises are adopting a hybrid cloud model because of the difficulty of migrating some legacy systems to the cloud, the report finds. Enterprises are also seeing benefits from using platform-as-a-service offerings from specialized providers. For large, complex enterprises, the full benefit of moving to the cloud comes from application transformation, the report notes.

Meanwhile, many midmarket companies are moving to a single cloud. They are seeing the benefit of moving to software-as-a-service, including SaaS ERP and CRM to replac legacy corporate solutions.  



The report finds significant cost savings for companies that move operations to the cloud. In many cases, the savings came from provisioning automation, from infrastructure reliability, and from improvements to the software release and change management processes, including the introduction of robust DevOps practices. In case studies where cost savings were identified, the average savings was 38 percent.

The report also finds a growing reliance on cloud consulting services, because businesses can't keep up with the complexity and the thousands of offerings released every year by the hyperscale and other public cloud providers. "The flood of innovation makes it extremely important that businesses receive guidance," Herrera said.


The ISG Provider LensCloud Transformation/Operation Services & XaaS Report for Pan America evaluates the capabilities of 24 cloud transformation and XaaS providers across four quadrants: Public Cloud Transformation, Managed Public Cloud Services, iPaaS – Public Cloud Hyperscaler and IaaS – Enterprise Cloud.

IBM was named a Leader in all four quadrants, while Accenture, Capgemini, Cognizant and TCS were named a Leader in two. Atos, AWS, DXC Technology, Google, Microsoft Azure, Tech Mahindra, TIVIT and Wipro were all a Leader in one quadrant.

The ISG Provider LensCloud Transformation/Operation Services & XaaS Report – Pan America is available to ISG Insights™ subscribers or for immediate, one-time purchase on this webpage.

About ISG Provider Lens™ Quadrant 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 serving the U.S., Germany, Australia, Brazil and the UK, with additional markets to be added in the future. For more information about ISG Provider Lens research, please visit this webpage.

The series is a complement to the ISG Provider Lens Archetype reports, which 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 75 of the top 100 enterprises in the world, 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; technology 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 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.

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SOURCE Information Services Group, Inc.


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