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Top priorities for IT infrastructure investments: What’s more important than business transformation?

TBR’s recently launched Infrastructure Strategy Customer Research report surveys 300 IT decision makers responsible for IT infrastructure globally and by industry vertical, such as technology, public sector and healthcare & life sciences, and by organization size, including small, medium and enterprise.

 

Join Principal Analyst and Engagement Manager Angela Lambert for insights, data and analysis on exactly what IT buyers are concerned with in the post-COVID-19 transition, with billions of dollars of IT investment on the line. Angela will discuss the challenges and priorities guiding investment plans, key areas of infrastructure expansion, plans for data center consolidation, and expectations for edge computing and multicloud adoption.

 

In this FREE webinar you’ll learn:

  • The top priorities influencing IT infrastructure investments today, and the top challenges slowing business transformation
  • Key insights for OEM, ODEM, cloud, service provider, software and security professionals
  • Differences in needs across small, midsize and enterprise businesses
  • How data center consolidation will impact infrastructure investment, edge adoption and shifts to public cloud resources

 

Mark your calendars for Thursday, June 30, 2022, at 1 p.m. EDT,
and REGISTER to reserve your space.


Related content:

  1. Free Copy: Top Predictions for Data Center in 2022

 

Click here to register for more TBR Webinars

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Opportunities abound for enterprise security vendors as customers adapt their IT to the new COVID-19 world

Opportunities abound for enterprise security vendors as customers adapt their IT to the new COVID-19 world

Key insights

COVID-19 rapidly increased the need for enterprise security in remote and edge environments to enable remote employees to work securely.

Many multiline vendors in the enterprise security market also sell data center infrastructure and attach enterprise security sales to hardware sales to provide customers with complete solutions. Data center hardware backlogs therefore slowed some near-term sales for these vendors, which will be remedied in 2H20.

IBM maintained its position as the revenue leader among benchmarked enterprise security vendors in 1H20. 

TBR’s Security Benchmark provides clients a deep dive into the enterprise security market, highlighting the financial performance of public and private, multiline, and pure play vendors within the industry.

While challenges persist for security vendors due to COVID-19, opportunities abound as customers adapt to the new world

Acquisition sprees continue despite economic woes

As noted in TBR’s 1H20 Security Benchmark, consolidation continues in the enterprise security market as customers continue to seek to work with fewer vendors to secure their IT portfolios. This encourages larger firms to make tuck-in acquisitions to meet customer demands. COVID-19 rapidly increased the need for enterprise security in remote and edge environments to enable employees to securely work remotely.

Logistical challenges with hardware shipping threaten multiline vendors’ ability to deliver solutions

Many multiline vendors in the enterprise security market also sell data center infrastructure and attach security sales to hardware sales to provide customers with solutions. The logistical and supply chain challenges that data center hardware vendors encountered due to COVID-19 hampered their ability to fulfill orders, resulting in a hardware sales backlog in 1H20. However, this backlog will be cleared out in 2H20, which will enable these vendors to realize the revenue. This should, in turn, enable multiline enterprise security vendors to realize the revenue of attached security solutions in 2H20 as well.

New use cases created at the edge amid pandemic

COVID-19 has fundamentally changed how society works, rapidly increasing the demand for new use cases for IT infrastructure as companies swiftly seek new ways to continue to do business. A key example is the emergence of new edge use cases to help slow and monitor the spread of COVID-19, including leveraging surveillance equipment to monitor social distancing and mask wearing as well as assist to assist with contact tracing if a person tests positive. These new uses will result in the need for more technology at the edge and heightened security to protect individuals’ privacy.

TBR’s Security Benchmark provides clients a deep dive into the enterprise security market, highlighting the financial performance of public and private, multiline, and pure play vendors within the industry.

Atos is pivoting to industry and leading with technology

Atos emphasizes 7 digital breakthroughs to support its expansion in the mid term  

Atos (Nasdaq: ATOS) is an expert at establishing short- and long-term strategies and not only strictly following and executing its plans but also providing checkpoints and information around milestones and financial achievements related to these strategies. During the Atos 2020 Analyst Day, the company announced seven areas of expansion across its six industry segments in the mid term. The areas are organized around three needs that clients expect to fulfill as they continue with their digitalization:

  • Value — deliver outcome-based services around full-stack cloud, business-critical applications and digital platforms
  • Experience — deliver innovative and flexible services around customer experience (CX) and employee experience
  • Safety — deliver services around security and decarbonization

Atos’ goal is to grow revenue between 5% and 7% year-to-year in constant currency in the mid term and to collectively generate 65% of total revenues from digital, cloud, security and decarbonization solutions, up from 40% in 2019. While digital, cloud and security have been among Atos’ revenue growth levers for the past several years, decarbonization is a new lever that Atos will use to support revenue growth by providing it externally and benefiting from a first-mover approach in the segment, and to improve profitability by expanding its carbon footprint internally. 

Atos 2020 Analyst Day: Atos’ ambition is to be the leader in secure and decarbonized digital. The company will achieve its goal by approaching customers with its technology DNA and a new industry-aligned organization and by targeting seven digital breakthrough segments that address three client needs: value, experience and safety. The global COVID-19 pandemic did not stop Atos from organizing its annual industry analyst day. While the event was held online due to country lockdowns, travel bans and social distancing requirements, the virtual event very much resembled the ones Atos organized in physical locations in past years. Over two days and with a rich agenda of plenary and breakout sessions, a client panel, and virtual one-on-one meetings with Atos’ executives, the company connected with the industry analyst community and shared details on its strategic plans and financial performance expectations in the mid term, or during the next four to five years.

Benchmark security revenue continues to increase, driven primarily by rising demand and acquisitions in 2H19

Key 2H19 benchmark takeaways

Total benchmarked revenue

Double-digit growth among covered vendors was due to steady industry acquisitions and strong performance from many of the vendors, including IBM (NYSE: IBM), F5 Networks (Nasdaq: FFIV), CyberArk (Nasdaq: CYBR), Fortinet (Nasdaq: FTNT) and Splunk (Nasdaq: SPLK). TBR believes security demand continues to rapidly accelerate as companies execute digital transformation projects and cyber threats continue to increase. The COVID-19 pandemic is resulting in an increase in cyberattacks aimed at multiple verticals such as healthcare and financial services, as institutions are forced to operate online in a greater capacity than prior to the outbreak.

Application security and mobile security segments

Higher demand for email- and web-related security as well as application vulnerability scanning led to an increase in application security segment revenue. The mobile security segment is seeing high revenue growth as the number of mobile devices continues to rise and the need to provide endpoint detection to all mobile and IoT connected devices increases.

TBR’s Security Benchmark provides clients a deep dive into the enterprise security market, highlighting the financial performance of public and private, multiline, and pure play vendors within the industry.

The need for short-term support, coupled with an anticipated surge in cloud adoption, will create security and advisory opportunities

The need for short-term support, coupled with an anticipated surge in cloud adoption, will create security and advisory opportunities

Cloud professional services is on the cusp of a wave of growth that will outpace prior estimates. Prior to the COVID-19 outbreak, the increasing complexity of enterprise hybrid and multicloud environments had already established a growing need for managed services and system integration vendors. Traditional deployment schedules and delivery timelines have been accelerated as the pandemic has created a short-term need to fulfill the demands of a new work-from-home (WFH) reality, especially in the realm of security and privacy. The increased demand for cloud professional services will necessitate both immediate and ongoing advisory and implementation services as the pace of multicloud and hybrid cloud adoption will increase rapidly for many enterprises needing advisory and implementation services.

TBR’s Cloud Professional Services Benchmark covers the professional services that are critical to enabling customers to take advantage of available technology as well as the market opportunity that exists for firms that cater to service needs. Additionally, the benchmark analyzes the size, growth and leading providers of services around cloud environments.

Security measures taken to combat impacts of COVID-19 on businesses will have long-term implications

The COVID-19 pandemic has unleashed an array of cyberattacks that threaten the health of our virtual systems, including but not exclusive to those in healthcare, banking and government agencies. Cyber criminals are capitalizing on widespread weaknesses with attack vectors in the form of spam, phishing scams, ransomware and malicious URLs. As the number of infected persons soars, so does the number of cyberattacks, but despite the short-term effects of combating threat actors, in the long term, the world will emerge more secure and better prepared, armed with lessons learned from strategies implemented and tested during the pandemic.

Malicious actors target victims through various tactics and ploys

Hot zones of cyber vulnerability have typically been localized or within a specific organization. While such attacks have disastrous ramifications in their own right, never before has the number of threat vectors been so far-reaching. As the COVID-19 pandemic forces the majority of the global workforce to stay home, employees have had to create makeshift ways of working while longer-term solutions are devised. The surge in the number of individuals working remotely and the strain that places on existing infrastructures is an underlying cause for a large majority of these attacks.

Many corporations and individuals are turning to user-friendly and feature-forward solutions. In particular, Zoom has seen a rampant surge in daily users, from 10 million in December to 200 million in March, as what was once meant for use by businesses is now also being used for daily work life and personal communication. Unfortunately, the company did not have the adequate levels of security infrastructure to support this surge, resulting in self-proclaimed “Zoombombers” infiltrating private corporate meetings, Alcoholics Anonymous meetings, online learning environments and more. The company was quick to issue a statement and plan to address these issues, with Zoom CEO Eric Yuan stating in a blog post, “We did not design the product with the foresight that, in a matter of weeks, every person in the world would suddenly be working, studying, and socializing from home.” Yuan added that over the next 90 days the company will “[enact] a feature freeze … shifting all of our engineering resources to focus on our bigger trust, safety and privacy issues” and release a transparency report, similar to reports shared by tech giants such as Facebook, Google and Twitter.

In addition to hacking into and taking command of private meetings, threat actors are masquerading as legitimate organizations with the intention of collecting highly personal information, such as a COVID-19 safety portal allegedly from the World Health Organization and a fake disease prevention waitlist portal. Additionally, a Venmo-like interface was recently discovered in the form of an emergency fund to generate relief dollars for those in need, and the Better Business Bureau has received numerous reports of individuals acting as U.S. Department of Health and Human Services and other government department employees, instructing text message recipients to click on a link for a so-called mandatory online COVID-19 test.