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Top predictions for APeJ IT industry in 2022 and beyond

IDC predicts By 2024, digital-first enterprises enable empathetic customer experiences and resilient operating models by shifting 60% of all tech and services spending to as-a-service and outcomes-centric models. That is one of the predictions IDC unveiled in its recent report IDC FutureScape : Worldwide IT Industry 2022 Predictions — APEJ Implications.

A recent IDC survey indicated that Asian enterprises have experienced the most gains in operational efficiencies, customer satisfaction, and reduced business risk due to investments in digital transformation in 2020. 76% also indicated having a formal strategy for business resiliency and how it’s beginning to accelerate and integrate digitalization. These results indicate the level of commitment Asian organizations have towards building a future-ready enterprise.

“Digital-first initiatives will drive unprecedented changes in the way IT is procured and deployed by organisations in Asia,” says Avneesh Saxena, Group Vice President of Domain research at IDC Asia/Pacifc. “As enterprises realize the impact of digital transformation on their business, they will focus on technology performance indicators that are more business-outcome centric.”

IDC’s Future of IT Industry top 10 predictions provide guidance for business leaders on how best to innovate software moving forward.

#1: Digital-first drivers: By 2024, digital-first enterprises will enable empathetic customer experiences and resilient operating models by shifting 60% of all tech and services spending to as-a-service and outcomes-centric models.

#2: New cloud fundamentals: By 2023, 40% of A2000 will reset cloud selection processes to focus on business outcomes rather than IT requirements, valuing access to providers’ portfolios from device to edge and from data to the ecosystem.

#3: Governance readiness: By 2023, 70% of enterprises will use AI-assisted, cloud-linked governance services to manage, optimize, and secure dispersed resources/data, but 70% don’t achieve full value due to IT skills mismatches.

#4: Portfolio inflation: By 2022, 40% of large enterprises’ IT budgets will be redistributed due to adoption of integrated as-a-Service bundles in areas of security, cloud platforms, virtual workspace, and connectivity.

#5: Systematic industry change: By 2026, leaders in industries facing mandated transitions in 2030s will triple annual tech investments dedicated to product/operations infrastructure but require 400% gains in IT operational efficiency.

#6: Augmentation trumps automation: By 2024, 60% of A2000 enterprises will gain twice as much, in terms of meaningful returns, on technology investments that augment employee/customer activities compared to ones that automate individual processes.

#7: Digital sovereignty: By 2025, regional divergences in data privacy, security, and placement/use/disclosure mandates will force 80% of enterprises to restructure their data control processes built on an autonomic foundation.

#8: Back to physical: By 2023, 40% of A2000 will shift half of their new technology hardware/connectivity spending to modernize and reconceptualize in-person experiences for customers and employees in their own locations.

#9: Digital sustainability: By 2025, 50% of A2000 will have Digital Sustainability teams tasked with assessing, certifying, and coordinating the use of business and IT sustainability data and analytic platforms offered by ICT providers.

#10: Data controls: By 2025, public enterprises’ valuations will be based as much on confidence in data controls for proper/effective use of data as in financial controls, focusing increased spending on data-centric solutions.

CT Bureau

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