Welcome!

Artificial Intelligence Authors: Elizabeth White, Yeshim Deniz, Liz McMillan, Pat Romanski, David H Deans

News Feed Item

Enterprise IT Report on the UK and Germany: How do the European IT Power Players Stack Up Heading into 2013?

LONDON, December 13, 2012 /PRNewswire/ --

Research commissioned by Savvis (http://www.savvis.co.uk), a global leader in cloud infrastructure and managed virtual hosting solutions, has revealed a dramatic rise in CIOs planning to put the majority of their infrastructure in the cloud over the next ten years. Still in its relative infancy, Europe has the chance to be at the forefront of cloud computing adoption and development.

In Europe, the UK is set to lead Germany in this trend, with rises over the decade from 2 to 45 per cent in the UK compared with 4 to 33 per cent in Germany. In 2012, cloud computing is currently being utilised by a higher percentage of IT decision makers in German organisations (86 per cent) than in their UK counterparts (80 per cent). IT decision makers in Germany are more likely to be using a hybrid cloud whereas public cloud is most popular amongst UK organisations.

The study also revealed that 45 per cent of IT leaders in the UK believe that they will have to do more with a reduced budget over the next twelve months. This was cited as their highest constraint and was well above the global average (28 per cent). The number one constraint cited by CIOs in Germany for the next year is a shortage of IT staff (31 per cent).

One of the most interesting findings from the research is that at least one third of organisations worldwide are not outsourcing applications that they feel should be outsourced. IT leaders believe savings can be made by reducing owned infrastructure and outsourcing to professional services.

CIOs that are currently outsourcing around a quarter of their IT infrastructure anticipate saving 24 percent (UK) and 25 per cent (Germany). The key reason German IT leaders believe they need to increase outsourced infrastructure is to deal with their shortage of IT human resources.

Adopting a 'pay as you go' model of outsourcing is seen as a significant cost saving by a high proportion of UK (39 per cent) and German (32 per cent) adopters. Known as a "utility-based model", the use of IT services flexes and adapts to business needs. Rather than paying a fixed upfront CapEx (capital expenditure) or longterm contract fee, the cost varies with the amount of services used.

CIOs in more mature markets also expect outsourcing to help them differentiate their organisation. UK IT leaders are much more likely to be driven by the need to increase IT agility to address changing business needs, than their counterparts in Germany (50 per cent versus 34 per cent). Access to specialist skills scored highly, suggesting a desire for flexibility to focus on core company work and specialist projects.

As is typical in technology adoption, where larger organisations lead smaller organisations, the rate of outsourcing going into 2013 has slowed down for those companies with a global turnover of $50-$100 billion. Mid-market European companies seeking agility are now driving the outsourcing trend. CIOs from the largest organisations in Germany predicted an increase of six per cent in outsourcing over the next five years, compared to 13 per cent among those with lower revenues. The UK forecasted a similar trend, with the largest organisations predicting an additional 11 per cent of infrastructure will be outsourced in five years' time, compared to 14 per cent among smaller organisations.

Alarmingly, just under half of European IT execs regret IT purchases when spending their IT Pounds and Euros in the last year, at a rate of 47 per cent in the UK and 48 per cent in Germany. 44 per cent of IT leaders in the UK said they would consider an outsourced infrastructure for new products or services they deploy, compared to 53 per cent in Germany.

The findings suggest that recently purchased IT infrastructure on large scales is a key reason why bigger companies hold on to their personal IT assets. CIOs confirmed that contractual obligations are the main barrier to outsourcing, whereas in previous years, company culture was the most common inhibitor. The exception is the UK, where company culture has been the number one barrier to outsourcing for the past three years, combined with an unwillingness to relinquish control.

In conclusion, both the UK and Germany are well positioned to lead Enterprise IT in 2013. As new technologies are introduced on a global playing field, it will be the individual companies that deliver operational efficiencies who make the most progression in the next 12 months. Through the advice and feedback of IT decision makers surveyed in this report, the best approach needs to be tailored to the individual needs of your organisation, identifying the required bespoke levels of cloud adoption and outsourced infrastructure models to increase your competitive advantage.

About the Research

To download a copy of the full research, please visit: http://www.savvis.co.uk/en-gb/solutions/it-outsourcing/pages/2012-global-it-leadership-report.aspx

This independent survey was commissioned by Savvis and conducted with 550 leaders of global large enterprises based in six leading IT enterprise countries. The research was conducted by Vanson Bourne, a research based technology marketing consultancy offering clients analysis and advice based on incisive, rigorous research into their market environment. The research used a combination of online fieldwork methodology and telephone interviewing. All research carried out by Vanson Bourne adheres to the latest MRS Code of Conduct. Demographic detailing respondent communities include industry sector, country in which the respondents were based, and size of business.

About Savvis

Savvis, a CenturyLink company, is a global leader in cloud infrastructure and hosted IT solutions for enterprises. Nearly 2,500 unique clients, including more than 30 of the top 100 companies in the Fortune 500, use Savvis to reduce capital expense, improve service levels and harness the latest advances in cloud computing.

Follow @SavvisEMEA on Twitter for the latest company news, blogs and industry opinions.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
Amazon started as an online bookseller 20 years ago. Since then, it has evolved into a technology juggernaut that has disrupted multiple markets and industries and touches many aspects of our lives. It is a relentless technology and business model innovator driving disruption throughout numerous ecosystems. Amazon’s AWS revenues alone are approaching $16B a year making it one of the largest IT companies in the world. With dominant offerings in Cloud, IoT, eCommerce, Big Data, AI, Digital Assista...
SYS-CON Events announced today that CA Technologies has been named "Platinum Sponsor" of SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CA Technologies helps customers succeed in a future where every business - from apparel to energy - is being rewritten by software. From planning to development to management to security, CA creates software that fuels transformation for companies in the applic...
Artificial intelligence, machine learning, neural networks. We’re in the midst of a wave of excitement around AI such as hasn’t been seen for a few decades. But those previous periods of inflated expectations led to troughs of disappointment. Will this time be different? Most likely. Applications of AI such as predictive analytics are already decreasing costs and improving reliability of industrial machinery. Furthermore, the funding and research going into AI now comes from a wide range of com...
Multiple data types are pouring into IoT deployments. Data is coming in small packages as well as enormous files and data streams of many sizes. Widespread use of mobile devices adds to the total. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists looked at the tools and environments that are being put to use in IoT deployments, as well as the team skills a modern enterprise IT shop needs to keep things running, get a handle on all this data, and deliver...
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...
SYS-CON Events announced today that Cloud Academy named "Bronze Sponsor" of 21st International Cloud Expo which will take place October 31 - November 2, 2017 at the Santa Clara Convention Center in Santa Clara, CA. Cloud Academy is the industry’s most innovative, vendor-neutral cloud technology training platform. Cloud Academy provides continuous learning solutions for individuals and enterprise teams for Amazon Web Services, Microsoft Azure, Google Cloud Platform, and the most popular cloud com...
SYS-CON Events announced today that IBM has been named “Diamond Sponsor” of SYS-CON's 21st Cloud Expo, which will take place on October 31 through November 2nd 2017 at the Santa Clara Convention Center in Santa Clara, California.
SYS-CON Events announced today that Enzu will exhibit at SYS-CON's 21st Int\ernational Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Enzu’s mission is to be the leading provider of enterprise cloud solutions worldwide. Enzu enables online businesses to use its IT infrastructure to their competitive advantage. By offering a suite of proven hosting and management services, Enzu wants companies to focus on the core of their ...
We build IoT infrastructure products - when you have to integrate different devices, different systems and cloud you have to build an application to do that but we eliminate the need to build an application. Our products can integrate any device, any system, any cloud regardless of protocol," explained Peter Jung, Chief Product Officer at Pulzze Systems, in this SYS-CON.tv interview at @ThingsExpo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA
SYS-CON Events announced today that GrapeUp, the leading provider of rapid product development at the speed of business, will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Grape Up is a software company, specialized in cloud native application development and professional services related to Cloud Foundry PaaS. With five expert teams that operate in various sectors of the market acr...
SYS-CON Events announced today that Ayehu will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on October 31 - November 2, 2017 at the Santa Clara Convention Center in Santa Clara California. Ayehu provides IT Process Automation & Orchestration solutions for IT and Security professionals to identify and resolve critical incidents and enable rapid containment, eradication, and recovery from cyber security breaches. Ayehu provides customers greater control over IT infras...
SYS-CON Events announced today that MobiDev, a client-oriented software development company, will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. MobiDev is a software company that develops and delivers turn-key mobile apps, websites, web services, and complex software systems for startups and enterprises. Since 2009 it has grown from a small group of passionate engineers and business...
In his session at Cloud Expo, Alan Winters, an entertainment executive/TV producer turned serial entrepreneur, presented a success story of an entrepreneur who has both suffered through and benefited from offshore development across multiple businesses: The smart choice, or how to select the right offshore development partner Warning signs, or how to minimize chances of making the wrong choice Collaboration, or how to establish the most effective work processes Budget control, or how to ma...
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend 21st Cloud Expo October 31 - November 2, 2017, at the Santa Clara Convention Center, CA, and June 12-14, 2018, at the Javits Center in New York City, NY, and learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
"When we talk about cloud without compromise what we're talking about is that when people think about 'I need the flexibility of the cloud' - it's the ability to create applications and run them in a cloud environment that's far more flexible,” explained Matthew Finnie, CTO of Interoute, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
In his session at @ThingsExpo, Eric Lachapelle, CEO of the Professional Evaluation and Certification Board (PECB), provided an overview of various initiatives to certify the security of connected devices and future trends in ensuring public trust of IoT. Eric Lachapelle is the Chief Executive Officer of the Professional Evaluation and Certification Board (PECB), an international certification body. His role is to help companies and individuals to achieve professional, accredited and worldwide re...
When growing capacity and power in the data center, the architectural trade-offs between server scale-up vs. scale-out continue to be debated. Both approaches are valid: scale-out adds multiple, smaller servers running in a distributed computing model, while scale-up adds fewer, more powerful servers that are capable of running larger workloads. It’s worth noting that there are additional, unique advantages that scale-up architectures offer. One big advantage is large memory and compute capacity...
IoT solutions exploit operational data generated by Internet-connected smart “things” for the purpose of gaining operational insight and producing “better outcomes” (for example, create new business models, eliminate unscheduled maintenance, etc.). The explosive proliferation of IoT solutions will result in an exponential growth in the volume of IoT data, precipitating significant Information Governance issues: who owns the IoT data, what are the rights/duties of IoT solutions adopters towards t...
With the introduction of IoT and Smart Living in every aspect of our lives, one question has become relevant: What are the security implications? To answer this, first we have to look and explore the security models of the technologies that IoT is founded upon. In his session at @ThingsExpo, Nevi Kaja, a Research Engineer at Ford Motor Company, discussed some of the security challenges of the IoT infrastructure and related how these aspects impact Smart Living. The material was delivered interac...
No hype cycles or predictions of zillions of things here. IoT is big. You get it. You know your business and have great ideas for a business transformation strategy. What comes next? Time to make it happen. In his session at @ThingsExpo, Jay Mason, Associate Partner at M&S Consulting, presented a step-by-step plan to develop your technology implementation strategy. He discussed the evaluation of communication standards and IoT messaging protocols, data analytics considerations, edge-to-cloud tec...