The transformation tipping point is arriving over the next three years.
Worldwide spending on digital transformation will reach $2.3 trillion in 2023 with a compound annual growth rate (CAGR) of 17.1%. This amounts to more than half of all ICT spending according to IDC.
The hurdle for service providers is to enable transformation at different stages of an organisation’s digital journeys.
Since the beginning of 2020, global disruptions caused by the COVID-19 pandemic are causing even more challenges. Internet traffic was at an alarming high. This was due to a surge in remote working and lockdowns, leading to high demand for streaming services.
For some technology enablers like managed service providers (MSPs), there is an urgent need for the flexibility to serve changing needs. That is having the ability to connect a growing number of services as and when customers need them in this time of crisis.
Digital transformation is happening, but it just isn’t evenly distributed.
SIMPLIFYING THE JOURNEY
While vertical industries like media streaming and manufacturing are quick to embrace digital transformation, other sectors will have more barriers in their adoption.
The government sector, financial services and the energy industry all have different requirements in terms of compliance or risk. That can limit the kinds of transformation projects they put into motion.
Across verticals, there are a different mix of priorities and adoption rates as well.
In conservative industries like construction, for example, digital transformation is inevitable, but change will not happen overnight. Legacy in manual processes and paper-based administration mean more effort is needed to digitalise.
There’s a recognition that digital tools and platforms can reduce costs, create efficiencies, and ultimately increase profitability. But, it doesn’t mean that worksites globally are rapidly digitising. Such a transformation will be a gradual process built on proven business cases, and that will take time.
For MSPs, it is all about preparing for the future and being able to pivot to serve new demands.
MSPs that are supporting decades-old businesses in their transformation need to be able to adapt their offering to serve the ever-increasing demands and be ready to support their customers even during a global crisis.
A FLEXIBLE FOUNDATION
Most MSPs do not have experience in networking and would rely on multiple service providers to connect their customers.Â
Choosing the right connectivity partner can enhance their ability to support theirs and their customers’ transformation. By having a strong network foundation, they can change and evolve seamlessly alongside their customers.
Flexible and scalable connectivity will be the bedrock of the customer relationship, enabling the MSP to deliver a growing number of network services. With an on-demand connectivity model, an MSP can interconnect their customers with data centres, cloud services and enable remote peering at global internet exchanges.
For greater adaptability and simplicity into managing the network, some network partners are enabling multiple services on a single port.
At Epsilon, we offer a multi-service port option. This allows customers to deliver multiple services on a single port with an added flexibility to move the port across our network fabric.
Depending on the verticals they serve, MSPs may have varied requirements for network connectivity. The right network partner enables them to future-proof their offering and match customer demands whenever needed.
They have the freedom to offer new applications and services to their customers across verticals and in different markets. A multi-service port ensures MSPs are ready every step of the way and adapt to their changing needs.
Value-adding partnerships are the key to supporting each other during times of crisis and moving forward with a solid strategy.
