In-House or Outsourced IT Infrastructure?

According to a new research, commissioned by Savvis Inc., a provider of cloud infrastructure and hosted IT solutions for enterprises, the number of companies that outsource their IT infrastructure is expected to increase drastically from 17 percent today to 64 percent in 2020. This independent survey was conducted by Vanson Bourne, a research-based technology marketing consultancy.

The research firm 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, Inc.

It was also revealed that the UK will see the biggest shift from in-house IT infrastructure to outsourcing, falling from 90 percent today to 23 percent in 2020, the USA from 82 percent to 49 percent and Singapore from 62 percent to 38 percent.

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).

Source: EPAM

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