Bob Cagnazzi
THE BUGGIE WHIP MISNOMER
THE BUGGIE WHIP MISNOMER 1905 2016
WORLD OF DIGITAL TRANSFORMATION The realignment of or investment in new technology, business models, and processes to drive value for customers and employees and more effectively compete in an ever-changing digital economy. Brian Solis (@briansolis), digital analyst, anthropologist, and futurist at Altimeter, a Prophet company
DIGITILIZATION IS DRIVING THE MARKET Digitalization efforts are increasing IT complexity, service/cloud centric models, and business demands for acceleration, efficiencies, new markets North America IT market will grow to $1.3 trillion by 2020, a 2.6% CAGR from 2015 1 Total public cloud alone will grow to $50 billion by 2019; single tenant to $31 billion 2 1 Gartner Market Gartner Market Databook, 2Q16 Update 2 IDC
IT WILL BE A MULTI-CLOUD WORLD TREND TOWARDS MULTI-CLOUD WHAT ARE THE WORKLOADS? ACCELERATED WORKLOAD GROWTH GLOBAL INSTALLLED WORKLOADS GROWTH (MILLIONS) Diverse workloads running across a number of platforms unified by multi-cloud solutions Managed cloud services provide a single-pane of glass for management and orchestration of workloads Traditional IT deployments will decrease as workloads move to a multi-cloud environment Public & Private Cloud spending will increase at a 12.5% CAGR over the next 5 years 1 Workloads will dramatically increase as they become easier to provision and consume 1 IDC, 415 Research
GARTNER DIGITAL MARKET TRENDS 2016-2020 Device Mesh Internet of Everything Multi or Hybrid Cloud & Service Architecture Continuous User Experience Adaptive Security Architecture 3D Printing Automated Machine Learning Autonomous Agents and Things
GARTNER DIGITAL MARKET TRENDS 2016-2020 Device Mesh Internet of Everything Multi or Hybrid Cloud & Service Architecture Continuous User Experience Adaptive Security Architecture 3D Printing Automated Machine Learning Autonomous Agents and Things
CIO CHALLENGES Evolution from Designed to Last to Designed to Change Support Core Apps that Run the Business Operate as a Business with Ever Lowering Costs Drive Business Innovation at a Faster Pace IT Craftsmanship IT Industrialization Digitalization Adapt IT Monetize Ideate Offer Create Engage IT provides innovation and new capabilities IT supports efficiency, effectiveness and integrity Digital provides continual opportunities for growth, innovation and differentiation Source: Gartner, Flipping to Digital Leadership: The 2015 CIO Agenda
CIO CHALLENGES Evolution from Designed to Last to Designed to Change Support Core Apps that Run the Business Operate as a Business with Ever Lowering Costs Drive Business Innovation at a Faster Pace IT Craftsmanship IT Industrialization Digitalization Adapt IT Monetize Ideate Offer Create Engage IT provides innovation and new capabilities IT supports efficiency, effectiveness and integrity Digital provides continual opportunities for growth, innovation and differentiation Source: Gartner, Flipping to Digital Leadership: The 2015 CIO Agenda
THE CIO CHANGE IMPETUS / CHALLENGES CIO Needs Reduction of complexity Agility and speed Adaptability Proactive analytics Simplification Process Models Ecosystem SLA Pay as you grow Flexibilty Business Pressure on IT Digital transformation IT = Business Amazon-like experience Shadow IT From Designed to Last To Designed to Change CIO Challenges Scale and complexity Traditional silo ed IT IT running inside-out Reactive measurements Investments on fear and fact with flat budgets Controlled and measured on costs Vendor lock-in
CIO PRIORITIES 2016 CIOs will aggressively re-skill the IT workforce Add or grow capabilities Reevaluate staffing and operating models Institutionalize a right-speed IT model CIOs will focus on the business value of their technology investments Invest in new business models and revenue opportunities Get to know the customer Play a larger role in driving strategy and investment CIOs will be uncompromising in their legacy and core modernization investments Take advantage of new vendor offerings Use ERP upgrades as opportunities to reimagine business processes Champion infrastructure and data center modernization efforts Source: Deloitte, Global CIO Survey 2016, Priorities for High-performing CIOs, Khalid Kark
Traditional areas of Expertise New Areas of Expertise MEGATRENDS TRADITIONAL DIGITAL ARE AGE DISRUPTING SOLUTION OFFERINGS THE IT INDUSTRY Cloud Digital Experience Mobility IoT/ Big Data Cyber Attacks Digital Transformation Technologies Managed Services Talent Gap Customer IT Transformation Changing Consumption Models Utility Models Infra / App Modernization Cyber Security Solutions Strategy Assessments Solutions Cloud Concierge Workload Analysis and Placement Hybrid/Public Cloud Deployment DevOps/PaaS Containers Microservices IOT Analytics Connected Everything IOT Data Data Analytics Analytics Analytics Analytics Connected Data Mining Everything Management and Orchestration Automation Provisioning Chargeback Multi Cloud Management Hybrid Cloud Infrastructure Physical Virtual Cloud Data Center Modernization Consolidation Virtualization Digital Workspaces App Desktop Mobility Next Gen Collaboration On-prem Hybrid Cloud Digital Ready Infrastructure Solutions Converged Access Network Fabric Automation iwan Single Management Network Security Data Center Collaboration Mobility Contact Center
WHAT IT MEANS FOR OUR INDUSTRY
HISTORY OF SUCCESSFUL TRANSITIONS 2004 TDM VoIP Migration 2005 Virtualization 2007 Mobile Workforce 2012-2020 Multi Cloud 2016-2020 Digital Transformation Trends IP voice for long distance toll bypass IP basedpbx Power over Ethernet Multiple applications on one physical device RISC to X86 migration Explosion of mobile devices Birth of app ecosystem Any-app on any device Access to any device from any system Ongoing mobile explosion Connected everything Adaptive security infrastructure Hybrid cloud New Opportunity Voice enabled IP WAN Unified communications LAN refresh for QoS and PoE Server virtualization Next generation server Virtualization SW Data Center infrastructure to support apps + mobile Security solutions Data Center and network designsolutions Cloud services Next gen security Cloud solutions Software defined infrastructure Security-as-a-Platform Enterprise Vendors Cloud Vendors -- Security Vendors -- -- 17
OUR MARKET POSITION Businesses must transform around digital business models Increasing IT complexity and business pressure on CIOs And a fluid IT provider landscape - OEMs/ISVs moving upstream as HW/SW becomes a solution ingredient - Small, regional service providers challenged to serve clients evolving IT needs Scale becomes critical
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