What Users Tell Infrastructure Vendors In Recent ESG Research (Part 1 of 2)

cloud-infrastructure-security.jpgEvery year, ESG’s IT spending intentions survey provides a broad look at the key themes and tides in the contemporary IT world. Its sheer breadth is certainly fascinating for practitioners and purveyors of IT alike. Anyone can access the abstract here while ESG subscription clients can obviously enjoy the entire report.

The immense breadth of the data can become somewhat beguiling in and of itself, so in a pair of ESG Video Capsules I want to parse out a few key research nuggets and expand on what they mean for infrastructure vendors. Part 1 is posted here and Part 2 will be posted next week. What’s in the videos? Speaking very colloquially and briefly, I cover what certain findings from the research mean for the infrastructure vendor community; in this first video I look at the demands that two very-fast-growing things—cybersecurity and the cloud—make of those vendors. The demands may seem simple, obvious even, but I see vendors ignoring them (at their peril) every day.  

Thanks for watching.

Video Transcript

Hello, this is Mark Peters, Practice Director for Infrastructure here at ESG. ESG's annual Spending Intentions Research is like a State of the Union for IT. The report is available on our website. But being so broad, the research headlines alone can be captivating. So here, I'll look behind a couple of findings to elaborate what they mean for infrastructure vendors. After all, it's generally reassuring for vendors to know that 53% of respondents expect their overall IT spending to be higher in 2017 than 2016, most by 5% or more. But that only translates to business if vendors play, and play appropriately, in the right spaces.

Let's start with some data. The biggest relative spending growth this year versus last is for cybersecurity, which is also far and away, the biggest IT "meta trend." Other significant 2017 growth occurs in BI and analytics, cloud, and mobility.

What's the meaning for vendors? All infrastructure hardware and management vendors must have a commentary and opinion on these topics, whether they directly compete in each arena or not. Relevance and insights beget value.

What about cloud? Ninety-three percent of organizations already use the public cloud or have plans to. Moreover, four out of five users at least consider cloud for net new apps, either a "cloud-first" approach or a willingness to evaluate both cloud and on-premises. And the meaning here? All vendors needs to acknowledge, embrace, and/or compete in and with the de-facto, hybrid IT world. It's not a fad, it's a fact. Now I said, these were implications for vendors so they, in turn, can better serve the end-users that gave us these insights in the first place.


Topics: Storage Cybersecurity IT Infrastructure Cloud Services & Orchestration