We have delayed the publication of this event note until after Capgemini’s Capital Markets Day this week, when Capgemini confirmed its mid-term ambitions of 5-7% organic growth and an operating margin of 12.5-13%. “In Shape and On the Move” were among the first few words of COO Thierry Delaporte’s closing address at Capgemini’s global analyst and adv[...]

    By Dominique Raviart & Rachael Stormonth Deutsche Telekom’s Capital Market Day 2018 included a session in which the new CEO of T-Systems Adel Al-Saleh explained how he intends to turn around the Systems Solutions market unit (T-Systems). Back to onshore vendor profitability standards by 2021 Al-Saleh’s message to investors is clear: the priority is [...]

  John Laherty, Senior Analyst with NelsonHall’s IT Services practice, talks about his recently completed global research project on ‘Cognitive IT Infrastructure Management’, which covers latest developments in next-generation IT infrastructure and workplace services, including the use of AI, client requirements, and vendor selection criteria.     [...]

NelsonHall recently attended Computacenter’s analyst summit in Hamburg, Germany, its first such event since 2014. Key takeaways are that the company is now focusing on portfolio consolidation and workplace services opportunities for Win10 migration, and on geographic expansion, specifically in the U.S. and Germany. Let's look at initiatives driving the evolution of Computacenter&r[...]

  Over the last several years, the public IaaS market has grown rapidly, with major public IaaS providers growing at 45% or more annually, as estimated by NelsonHall. However, large enterprises are only moving a small portion of their application landscapes to public cloud, maintaining larger application footprints in private cloud or on-premise environments. This hybrid approach re[...]

  There is an abundance of IoT platforms on the market. Many technology firms (e.g. IBM Software, AWS, PTC/Thingworx, Microsoft), major manufacturing firms (GE, Siemens, ABB, Bosch, Schneider Electric) and some large IT services vendors (e.g. Accenture, TCS, and Atos via Worldline) have invested in their own IoT platform products. History is repeating itself, as the build or buy que[...]

  As a follow-up to our research project focused on SAP HANA and S/4HANA services that was completed last fall, NelsonHall recently had a briefing with Infosys to take an in-depth look at components of their migration toolset and understand how it is automating the activities of existing SAP clients migrating to HANA or S/4HANA. SAP is focused on speed and agility in HANA and S/4HAN[...]

  John Laherty, Senior Analyst with NelsonHall’s IT Services practice, talks about his recently completed global research project on ‘Next Generation End-User Computing Services’, which covers latest developments in build and run workplace services. Here he touches on EUCS market size and growth, key drivers, and major trends – including the shift towards person[...]

  NelsonHall recently had a briefing with senior management at Getronics to discuss the merger of Connectis under the Getronics portfolio. In this short blog, I look at what the Connectis business brings to the wider Getronics group, the aspirational growth targets that have been set by new CEO Nana Baffour, and some of the key focus areas for Getronics moving forward. Baffour becam[...]

  Mike Smart reports directly from IBM’s European Analyst & Advisory Exchange 2017 with some quick take-aways regarding IBM’s transition from systems integrator to services integrator and its business resiliency services.[...]

The rise of self-service provisioning and automation of public cloud environments gives companies autonomy in managing their infrastructure and flexibility in meeting fluctuating capacity demands. From the perspective of an IT service provider, however, if clients can provision new cloud environments in a few minutes and then use the same screen to orchestrate and manage that cloud environment[...]

Four years ago, at the time of the London 2012 Olympics and Paralympic Games, NelsonHall reported on the work Atos does for the International Olympic Committee (IOC) though its Major Events unit. See our previous commentary here. This week we visited its center in Barcelona to get an update on the work it is doing for the Rio Games starting next month, The Olympic Games remain a fantastic o[...]

In December 2015, we published two blogs about M&A activity in the IT services industry in 2015 (here are the links for Part 1 and Part 2). This blog examines M&A activity in IT services in Q1 2016 and sets our expectations for the rest of this year. In short, 2016 started off with a bang, with two very large IT services acquisitions announced in the first [...]

It is three years since Tech Mahindra finalized its merger with Satyam, a challenging journey of 18 months, to diversify its client base from BT (29% of revenues in Q3 FY 2013), the telecom services overall and from Europe (its then largest vertical by far, representing 46% of revenues). At the Tech Mahindra indicated several ambitious targets for CY 2015: Reaching $5bn in annual revenues by[...]

NelsonHall recently met with the management of Atos to discuss the acquisitions of Bull and Xerox ITO and the progress being made by Atos in adopting Indian offshoring. Note that this meeting took place before Atos' Consulting & Systems Integration analyst day. Bull: Is An Expanded Portfolio Relevant? With its acquisition of Bull, Atos has acquired an IT firm with a significant level[...]

This week NelsonHall held its quarterly IT Outsourcing (ITO) Index webcast to report on the latest developments in ITO contract activity and present an analysis of spending activity for IT services, professional services (i.e. consulting and systems integration) and ITO. Background ITO Index data shows a steady (but non-linear) decline in Total Contract Value (TCV) from 2002 onwards. The lev[...]

Overall IBM Group revenues in 2014 declined 6% (-1% in CC and excluding divestitures). However, IBM is in the midst of a major adjustment of its portfolio. In line with this, the company is reporting $25bn in revenues (and 16% revenue growth) in 2014 (out of a total of $92.8bn) from its "strategic imperatives". IBM's acquisition of Softlayer, where it continues to invest strongly,[...]

This week NelsonHall held its quarterly IT outsourcing (ITO) Index webcast. We have conducted these calls for the last six years to monitor developments in ITO from a quantitative perspective. When we introduced the Index, ITO had largely moved from full outsourcing to a selective outsourcing approach, and Indian vendors were deploying their land and expand strategy with the occasional one-off meg[...]

This week NelsonHall held its quarterly IT outsourcing (ITO) Index webcast. We have conducted these calls for the last six years to monitor developments in ITO from a quantitative perspective. When we introduced the Index, ITO had largely moved from full outsourcing to a selective outsourcing approach, and Indian vendors were deploying their land and expand strategy with the occasional one-off meg[...]

EVRY has announced that it is considering strategic opportunities including a sale. EVRY is in theory an attractive target: the company has a sizable presence in a region with short- to mid-term growth potential: It is the largest IT service vendor in Norway ($1bn in revenues, excluding its financial services unit). Norway, with an economy that is heavily influenced by oil & ga[...]