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AI (especially generative AI) is of particular interest to service providers f late following technological breakthroughs from OpenAI’s ChatGPT platform, which has demonstrated that generative AI has developed to a point that it is able to bring useful outcomes to businesses and consumers alike.
This infographic contains the three key takeaways from TBR’s latest research on the U.S. federal IT services market and what these events mean for you. Infographic includes takeaways for stakeholders, including M&A prospects, resilient spending trends, and the rise of advisory practices, amidst unprecedented growth in federal IT services.
By acquiring Juniper Networks, HPE’s networking capabilities, especially around AI-enabled networking, will be immediately bolstered. And naturally, the acquisition would also support HPE’s edge-to-cloud vision.
PwC’s recognition that a standardized, scaled business model combined with high-touch consulting could actually assuage fears around job disruption may prove critical as GenAI permeates IT services. Paired with the focus on measurable business outcomes, PwC’s factory approach could help separate the firm from peers.
HCLTech’s Cloud Native Labs could be a blueprint for other IT services vendors, particularly as the entire cloud ecosystem faces disruptions from shifting client expectations and the opportunities around GenAI.
TBR believes operators will be more calculated and tactical in investing in 6G compared to 5G, with a deeper emphasis on ensuring a clear line of sight to ROI before significant spending occurs
AWS’ 2023 re:Invent conference was, unsurprisingly, all about generative AI (GenAI), showcasing all the ways AWS enables this budding technology — not just through the infrastructure layer AWS is known for, but also through the company’s platform tools and applications
IT services vendors are ramping up innovation efforts and bringing in new expertise and resources experience to address emerging needs as client demand reflects a stronger emphasis on software and efficiency solutions.
Long-term, profitability will be king. If Broadcom is to achieve its stated profitability goals, VMware will need to scale this offering rapidly. If it does not, TBR expects there will be a limit to Broadcom’s patience and a spinoff may be in the cards over the long term.
Microsoft Fabric, a new end-to-end SaaS-like data platform, will help Microsoft change the PaaS landscape and could help Microsoft reach new audiences and spur Azure growth in the continued race for cloud and AI dominance.
