September 11, 2012
More than half of IT decision makers admit regret on in-house infrastructure purchases
ST. LOUIS, Sept. 11 — Three in five IT and business decision makers agree that owning and operating in-house IT infrastructure drives costs higher and wastes resources, according to an annual study from Savvis, a CenturyLink company and leader in global cloud infrastructure and hosted IT solutions for enterprises.
This view marks a sharp increase from 2010, when just 38 percent of IT decision makers attributed IT ownership to waste in resources and higher costs, and comes as nearly 60 percent of respondents now believe organizations must place the priority on outsourced infrastructure over traditional in-house services.
"This study reveals a significant shift in the way organizations analyze and approach IT services," said Bill Fathers, president of Savvis. "IT departments are now looking to strengthen collaboration, efficiency and competitive agility – and they're turning to secure, outsourced environments and cloud computing to help meet their objectives."
Savvis commissioned international research firm Vanson Bourne to conduct the survey among 550 IT and business decision makers in the United States, the United Kingdom, Germany, Japan, Hong Kong and Singapore. The study offers global insight from key industries, including finance, media and entertainment, retail, healthcare, software and automotive, on trends in IT outsourcing (ITO), adoption of cloud solutions and the costs of owning infrastructure. This is the fourth consecutive year that Vanson Bourne has conducted a survey for Savvis.
The report shows growing interest in outsourced infrastructure and cloud computing as means for freeing up budgets, fostering collaboration and operational efficiencies, and building competitive advantage.
Global highlights from the 2012 annual report indicate:
"We continue to see changing views on why organizations make the move to outsourced managed services," Fathers said. "As the business focus moves from IT budgets to enriching core competencies, we expect strategic ITO solutions to move to the forefront of decision-maker priorities."
Savvis' Strategic ITO Solutions blend the company's enterprise-class service portfolio with a utility, pay-per-use delivery approach to provide complete outsourced infrastructure and application solutions. This broad set of services drives business agility, maximizes efficiency and mitigates risk for large enterprises around the world.
Visit www.savvis.com/FastForwardITO to download a copy of the 2012 Savvis report, titled "Fast-Forward to 2013: 550 Global IT Execs Share their IT Outsourcing Strategies."
Savvis, a CenturyLink company, is a global leader in cloud infrastructure and hosted IT solutions for enterprises. Nearly 2,500 unique clients, including more than 30 of the top 100 companies in the Fortune 500, use Savvis to reduce capital expense, improve service levels and harness the latest advances in cloud computing.
CenturyLink (NYSE: CTL) is the third largest telecommunications company in the United States and is recognized as a leader in the network services market by technology industry analyst firms. The company is a global leader in cloud infrastructure and hosted IT solutions for enterprise customers. CenturyLink provides data, voice and managed services in local, national and select international markets through its high-quality advanced fiber optic network and multiple data centers for businesses and consumers. The company also offers advanced entertainment services under the CenturyLink Prism TV and DIRECTV brands. Headquartered in Monroe, La., CenturyLink is an S&P 500 company and is included among the Fortune 500 list of America's largest corporations.
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