An annual study commissioned by Savvis, Inc. , a global leader in cloud infrastructure and hosted IT solutions for enterprises, predicts the number of companies that outsource their IT infrastructure will increase globally from 17 percent today to 64 percent in 2020.
Independent research firm Vanson Bourne in April surveyed more than 600 IT and business decision makers from mid to large enterprises and public sector organizations based in the United States, United Kingdom and Singapore.
Sixty-one percent of respondents believe managing IT in-house provides no competitive advantage and has to stop.
“With the rise in acceptance of outsourcing within the IT industry, and the related economies of scale that accompany the managed services model, businesses are finding it difficult to justify owning their own IT infrastructures,” said Bryan Doerr, chief technology officer at Savvis.
The trend away from in-house IT infrastructure can be seen in the study results:
United States: In-house IT infrastructure is expected to drop from 82 percent today to 49 percent in 2020.
United Kingdom: In-house IT infrastructure is predicted to drop from 90 percent today to just 23 percent in 2020.
Singapore: IT infrastructure being controlled in-house is expected to drop from 62 percent today to 38 percent in 2020.
In looking at 2010, organizations cited cost savings (58 percent) and growing revenue (54 percent) as their top strategic priorities. The biggest issue organizations face concerns doing more with less budget (54 percent).
When asked what factors prevent their organizations from outsourcing all elements of their IT infrastructure, survey respondents cited company culture (43 percent) and sunk costs in which IT assets already are paid for and owned (37 percent).
Source:http://www.prnewswire.com/news-releases/nearly-two-thirds-of-it-infrastructure-expected-to-be-outsourced-by-2020-according-to-savvis-global-study-95837954.html
