GlobalData Plc

ICT Client Prospector methodology & definitions

Methodology

GlobalData’s ICT Client Prospector provides an insight into the ICT budgets of organizations according to their demographic profile.

The ICT Client Prospector is based on an underlying forecasting algorithm which has been developed using an extensive compilation of survey data that GlobalData has collected on IT spending by organizations. The forecasting algorithm has been developed as a statistical model that provides IT spending predictions based on an organization’s demographic profile.

The ICT Client Prospector tool is a combination of two components – a company database containing demographic profiles of organizations, and an underlying forecasting algorithm providing spending estimates for organizations of all types.

Data provided in the tool is based on the underlying algorithm, which forecasts ICT budgets based on a company’s demographic profile. The algorithm itself is based on a large set of recently-conducted surveys and in-depth interviews, which have included information on ICT budgets and their distribution.

The parameters for the algorithm are the organization’s industry, its annual revenues, its geography of operations, and its employee numbers. Together, these parameters constitute the demographic profile of the organization. The core assumption of the forecasting tool is that the demographic profile sufficiently captures the extent and nature of an organization’s ICT spending. Corresponding to each demographic profile, regression models have been developed, generating coefficients that can be used to forecast the expected extent and nature of ICT spending in that demographic segment.

ICT Spend Predictions – Definitions 2018

General details

ICT budget (US$m) – the size of the budget for information & communications technology products and services.

Internal budget (US$m) – the size of the ICT budget allocated for internal development & maintenance, most notably ICT staff costs.

External budget (US$m) – the size of the ICT budget allocated to third-party ICT products and services.

Outsourcing likelihood – the likelihood that an enterprise will outsource elements of its ICT expenditure, expressed in relative terms as ‘high’, ‘medium’ or ‘low’.

Spending by segment

Hardware (including Cloud IaaS) – includes computer hardware, devices and peripherals e.g. printers, semiconductors, servers and mainframes, storage, telephony infrastructure, data/network infrastructure. Includes Infrastructure as a service (IaaS).

Software (including Cloud SaaS) – – includes enterprise applications & ERP, software infrastructure (e.g. operating systems, systems management) and information management (e.g. BI, content management). Includes Software-as-a-Service (SaaS).

ICT Services – includes spending on third party ICT services e.g. application development services, and Infrastructure Services. ICT services includes support and maintenance costs for hardware and software.

Network and Communications – relates to all telecommunications costs in the enterprise. This would include both voice and data communications costs (fixed-line telephony, network services, broadband connectivity etc.), mobile voice and data costs, as well as conferencing services.

Consulting – covers professional services spending with third parties e.g. Business and Strategy Consulting and Technology & Transformation Consulting.

Other – any other areas where the external ICT budget/spend is spent.

Spending by channel

Technology (product) vendors (direct) (US$m) – spending directly attributed to technology vendors selling ICT products.
Local resellers of technology products (indirect) (US$m) – the amount of the ICT budget allocated to local resellers of ICT products, including value added resellers and distributors.

Telcos (US$m) – spending with providers of telecommunications services (voice and data, fixed and wireless) and internet services providers (including cloud services).

Systems integrators (US$m) – the amount of the ICT budget allocated to those technology services providers specialising in systems integration.

ICT services providers/consulting firms (US$m) – the amount of the ICT budget allocated to firms offering infrastructure and application services, as well as specialist ICT consulting services.

Specialist outsourcers (US$m) – the ICT budget allocated to specialist IT outsourcers.

Spending by function

Data centre – enterprises’ investment in facilities (in-house and from third parties) providing a secure environment for its computer systems and associated components, including servers & mainframes, telecommunications, and data storage systems.

ICT Service Desk – expenditure on the provision of desktop services that manage an enterprise’s desktop environment and distributed IT assets.

End-user computing – expenditure on end-user computing equipment, including desktops, laptops, and mobile devices.

Network – investment made in enterprises’ network infrastructure, including its wide area network (WAN) and local area network (LAN).

Applications – expenditure on enterprise software and applications either deployed on-premise or supported remotely and delivered as a service.

Communications – as above, the costs associated with telecommunications in the enterprise, including voice and data communications over fixed and wireless networks.

Management – expenditure on the enterprise-wide administration of distributed computing systems, including both systems management and network management.

Operational ICT

Run the business – the budget allocated to running existing ICT systems and applications.

Change the business – the budget allocated for expenditure on new ICT projects.

Propensity to outsource (Infrastructure) – the likelihood that an enterprise will outsource the management of its ICT infrastructure, including the management of its data centre, storage and network & communications, expressed in relative terms as ‘high’, ‘medium’ or ‘low’.

Propensity to outsource (Applications) – the likelihood that an enterprise will outsource the management of its enterprise applications, expressed in relative terms as ‘high’, ‘medium’ or ‘low’.

Propensity to outsource (Service support & help desk) – the likelihood that an enterprise will outsource the management of its service support & help desk, including managed desktop services, expressed in relative terms as ‘high’, ‘medium’ or ‘low’.

Propensity to outsource (IT management) – the likelihood that an enterprise will outsource its overall IT management, expressed in relative terms as ‘high’, ‘medium’ or ‘low’.

Hardware spending

Network equipment – enterprise IT infrastructure for networking and communications covering hubs, switches, routers, access points, and customer premise equipment.

Security equipment – covers security hardware and appliances including content-filtering and anti-spam appliances, encryption/SSL accelerators, firewall and VPN gateways, smart card readers, and smart cards.

Servers – investment made in the combined categories of low-end, mid-range and high-end server systems.

Storage – IT storage infrastructure, including hard-disk drives, NAS filers and gateways, SAN adaptors and connectors, SAN disk arrays, and tape libraries.

Desktop PCs/laptops/tablets/printers – covers end user computing devices, including personal computers, laptops, thin clients and workstations.

Communication devices (conferencing phones, interactive screens, mobile phones) – covers all hand-held mobility devices including pocket PCs, mobile devices, smartphones, tables and wearables.

Other – includes Peripherals (expenditure on additional computing devices including printers, phones and adaptors, and scanning and imaging devices).

Software spending

Enterprise applications – covers Business Process Management, Commerce Applications, Customer Relationship Management (CRM), Enterprise Resource Planning (ERP), Financial Applications, Human Resources and Payroll, Product Lifecycle Management, Supply Chain Management.

Data management and analytics – covers Business Intelligence and data discovery tools, Content Management, Database management, Big Data platforms, Artificial intelligence platforms, Analytics software, Portals, Search.

Communications software – – covers collaboration platforms and applications for team and project management, unified communication and collaboration suites, communication applications for audio, video or web conferencing.

Security – covers Application Security, Business Protection, Communication Security, Content and Web Filtering, End-point Security, Identity and Access Management, Information Protection, Network Security, Security Audit and Testing, Security Management.

ICT operations management – covers Application Performance Management, Desktop Management, ICT Service Management, Mobility Management, Network Management, Systems Management.

ICT infrastructure management (excluding SD-WAN) – covers Application Platforms, Application Lifecycle Management, Business Process Management, Databases, E-mail and Communication Servers, Integration & SOA, Mobile Platforms, Operating Systems, Storage Management, and Virtualization.

Software defined networking/SD-WAN – covers control of network infrastructure (hardware and equipment) and network usage through a virtualized environment and managed through software defined network/SD-WAN platform.

ICT services spending

Application services – service expenditure relating to the development of enterprise applications, including the customization, rationalization, or modernization of off-the shelf packages, as well as the development of bespoke applications. Integration services cover the planning, design, and building of enterprise applications which automate business processes.

Hosting & data center services –includes the management and monitoring of an enterprise’s entire IT platform. As well as covering normal servers, it includes the associated network infrastructure, storage infrastructure, security, and systems management software.

Security & privacy services – Security and privacy services help enterprises protect their IT assets and comply with an increasingly regulated environment. Examples include threat & vulnerability management services, IT security management services, IT security compliance services, secure communications services, and secure content services.

Desktop services & user support – desktop services cover the management of an enterprise’s entire desktop environment and distributed IT assets. User support services give an enterprise’s IT users a single point of contact for IT issues in the desktop environment.

Storage services – Storage services are the provision of managed storage services and data back-up services. The solutions themselves can be hosted within a service provider’s data centers or on a customer’s premises.

Cloud management services – includes administrative and monitoring services of cloud infrastructure for cloud performance through a cloud management platform.

Systems integration – Systems Integration is a process that includes the design, planning, implementation and project management of a solution that addresses a customer’s specific technical or business needs. It includes systems and custom applications development as well as the implementation and integration of enterprise package software.

Network and Communications spending

Managed IP telephony service (IP-PBX, IP-Centrex) – Includes Hosted IP-Centrex or Hosted PBX and Managed IP-PBX services. Where the hosted service (i.e. provided outside the client location/premises) that uses IP (Internet Protocol) to provide PBX functionality, and managed IP-PBX services include a traditional on-premise IP PBX delivered through IP or TDM which streamlines voice and data services into a single solution.

Fixed voice (including VoIP) – expenditure on fixed-line communications for voice services, including line rental and call charges.

Broadband – expenditure on fixed data services including internet connectivity, leased lines, WAN connectivity, and other data services such as xDSL (Digital Subscriber Line), SDSL (Symmetric Digital Subscriber Line), ADSL (Asymmetric Digital Subscriber Line), IDSL (ISDN Digital Subscriber Line), ADSL2 (second-generation DSL broadband); VDSL (Very-High-Bit-Rate DSL), and HDSL (High-bit-rate DSL).

Mobile communication – expenditure on mobile voice telephony services, including monthly subscription costs and voice minutes, data transmission delivered by the cellular carriers to cellphones and laptops. Also includes charges for SMS, MMS and other data services for internet applications such as World Wide Web access, file transfer, and e-mail.

Conferencing services –expenditure on audio and video conferencing services, including unified communications, web conferencing, HD video conferencing, telepresence and real-presence solutions.

Network services – includes private line services, Ethernet, frame relay/ATM, IP VPN and site-to-site VPN services.

SD-WAN – Software-defined WAN is a WAN composed of MPLS and one or more broadband Internet, Carrier Ethernet and/or LTE connections links.

Cloud computing spending

Cloud management platform – Offers features and functionality to manage provisioning and resource based on policies/permissions, automation, cost management, cloud infrastructure management, operations management and integration with other cloud platforms or services.

Infrastructure as a Service (IaaS) – – IaaS is a set of virtual computing, storage, and network resources combined with a set of associated services.

Platform as a Service (PaaS) – computing platforms typically including an operating system, programming languages and tools for program execution, databases, and web servers.

Software as a Service (SaaS) – any application which is hosted and managed by a vendor or service provider, and is delivered to customers over a network.

Managed cloud – Solution providing management of complete cloud services delivery within an enterprise, covering security, networking, storage and application development.

Private cloud –refers to a secure and separate cloud based environment that is deployed within the company’s firewall and used by its internal and authorized stakeholders.

Hybrid cloud –a combination of private cloud and public cloud. Both the public and private cloud operates as an independent entity, but is connected with each other via an encrypted connection which allows users to take advantage of multiple deployment models.

Cloud migration –Third-party support service for enterprises to upgrade existing underlying data center infrastructure or application delivery through cloud computing infrastructure (including networking, security, storage and application).

ICT consulting spending

Systems planning & design consulting –expenditure with IT services providers relating to both the re-design and overhaul of IT systems, as well as the planning phase relating to IT systems integrations.

Security consulting – consulting services that determine enterprises’ security and resilience in ICT domain that safeguard offices, employees, operations, facilities, and assets.

Disaster recovery & business continuity planning –services that help enterprises ensure the continued availability of mission-critical processes and IT resources against potential loss or damage caused by disruptions, disasters, or IT security breaches.

Training, education and other consulting – investment made with IT consultants to provide training and education services to an enterprise’s in-house IT staff.

Definitions – Technology Priorities (ICT CP tool); based on the 2018 segmentations

Category Segment Definition
Application development and management
Software Application lifecycle management Application Lifecycle Management software allows enterprises to manage the various stages of an application’s full lifecycle from gathering information about requirement to development and delivery. It typically offers some or all of the following functionalities: Application Development, Application Testing, Architecture and Modelling, Change and Configuration Management, Development Methodologies, Project and Portfolio Management, Requirements Management.
Application platforms (containers, integration) Application Platforms: Used to develop, deploy, integrate, and manage applications. They deliver some or all of a set of specific services (such as storage, scheduling, execution, and data processing) to applications which run on various types of computing devices such as mobile phones, desktops, and servers. Complete application platform suites typically comprise components such as application servers, application frameworks, and transaction monitoring.
Application containers: Enables operating an application or software in isolation on a shared operating system, unlike virtual machines where the operating system is also isolated. The software is also available as a cloud service.
Business process management Business Process Management Platforms supports enterprises’ business process improvement initiatives by performing process discovery and design, process modelling, user interface development, data integration, rules management, workflow and task management functions.
ICT service management ICT Service Management software aligns an organization’s ICT services delivery capabilities with business requirements. It enables integration and automation of ICT operations and management processes, inventory collection, financial and contractual data reporting to manage IT asset throughout the IT service’s life cycle, manage change requests, and automate tasks to address operational incidents.
Service Development/management Application development: services include the creation of custom applications, extensions to existing custom applications, and/or custom extensions to packaged applications, based on specific client requirements, not generally fulfilled by packaged applications themselves. Development services also typically include application modernization and mobile application services.
Application management: services concentrate on the management of both packaged and custom applications. Management typically includes transition management to new versions, application failure support, helpdesk, regulatory updates, maintenance and minor enhancements, and performance tuning services
Performance monitoring Application performance monitoring services include the testing of custom applications, packaged applications, and supporting middleware and infrastructure. It involves performing functional testing and performance testing, using methods addressing capacity, utilization, response time, and performance metrics.
Client Computing (End-user computing)
Hardware Thin client devices A thin client is a desktop terminal with no storage device running on Remote Desktop Protocols (RDP), like Citrix ICA and Windows Terminal Services.
High-performance computers Computer with high operational power used for scientific and engineering applications that can handle huge databases and perform large amount of computation.
Service Managed print service Managed Print Services includes the complete or partial outsourcing of the management of an enterprises’ printing and imaging service requirements including the maintenance of devices (printers, scanners, fax machines, copiers, and other multi functional devices) and related network infrastructure/
Managed desktop service Managed Desktop Services typically cover the management of an entire desktop environment and distributed IT assets, including support for PCs, laptops, mobile devices, and thin computing devices. Services include assessment and planning, change management, solution installation, relevant backup and archiving, desktop leasing, and desktop virtualization services. Also included are desktop upgrading via automated processes, the management and running of an enterprise’s PC help desk, and managed offerings such as messaging services and collaboration services. This service line includes asset management, collaboration, managed messaging, mobile workplace, output management, service desk, site support, thin client management, workplace server management, and workplace software management.
Cloud Computing
Technology Cloud management platform Service which offers features and functionality to manage provisioning and resource based on policies/permissions, automation, cost management, cloud infrastructure management, operations management and integration with other cloud platforms or services.
Infrastructure as a Service (IaaS) IaaS providers offer a set of virtual computing, storage, and network resources combined with a set of associated services to their customers. IaaS consumers are allowed to define and configure the IaaS resources they require, as well as the software that is run on their IaaS resources, based on the permissions set by the service provider.
Software as a Service (SaaS) Any application (and its associated data) which is hosted and managed by a vendor or service provider, and delivered to customers over a network (typically the internet), falls under this category. Customers are permitted to define and configure the application resources based on their requirements and the permissions set by the service provider. They are charged based on a pay per use or subscription basis.
Platform as a Service (PaaS) PaaS providers offer a computing platform typically including an operating system, programming languages and tools for program execution, databases, and web servers. Customers can develop and run their applications on this platform, and the underlying computing and storage resources scale automatically to match the associated application demand.
Private cloud The provision of a secure and separate cloud based environment that is deployed within the enterprise’s firewall and used by its internal and authorized stakeholders. In a private cloud set up, physical computing resources are offered in a virtualized environment, which may be hosted internally or externally and accessed across private leased lines or secure encrypted connections using public networks
Hybrid cloud The provision of an integrated cloud service that utilizes both private and public cloud models, with each model being used to perform distinct functions within an enterprise. Both the public and private clouds operate as an independent entity, but are connected with each other via an encrypted connection which allows users to take advantage of multiple deployment models
Managed cloud Solution providing management of complete cloud services delivery within an enterprise, covering security, networking, storage and application development.
Cloud migration Third-party support service for enterprises to upgrade existing underlying data center infrastructure or application delivery through cloud computing infrastructure (including networking, security, storage and application).
Communications & collaboration
Software Unified Communications and Collaboration Unified communications and Collaboration is the assimilation of real-time, communication services including instant messaging, IP telephony, mobility, conferencing, fixed-mobile convergence (FMC), data sharing, and call control with non-real-time communication services such as voicemail, e-mail, SMS and fax.
Cloud-based Unified Communications and Collaboration platform (SaaS) Unified Communications and Collaboration platform on pay per use basis in the cloud.
Team collaboration A platform that streamlines enterprises’ workflow and communication by centralizing tasks and project management.
Service VoIP service IP-Enabled Services to make voice calls through broadband connection.
Dedicated internet/leased line A Dedicated Internet Access is a premium internet connectivity service ensuring constant bandwidth, with fixed bandwidth connectivity between two points.
Fiber broadband FTTH/B estimates focus on fiber to the home as well as fiber to the building connections. It include fiber access lines connecting directly to the customer’s premises, a definition that encompasses so-called FTTH (fiber to the home) and to a building (FTTB – fiber to the building) within which the connection could be a range of different technologies. FTTC (fiber to the curb) is not included here.
Data and analytics
Software Data management (warehousing/marts) An enterprise data warehouse holds all the business related information from all production databases, in a unified database which meets all enterprise reporting requirements for all levels of users. This data can be accessed by anyone in the extended enterprise including customers, partners, employees, managers, and executives. Data marts are just subsets of large data warehouses which are created for departments or product lines.
Business intelligence Business Intelligence (RTBI) solutions sort and analyze operational data as it’s processed and help enterprises evaluate their business processes and take business decisions based on current and historical conditions.
Social media/customer analytics Tools typically monitor posts on social media websites, analyze them, and provide meaningful analysis of customers’ sentiments or opinion about a product or brand. Customer Analytics uses customer behaviour data to find insights on market segmentation and demography to present relevant recommendations.
Big Data Platform A complete solution with enables storing, developing, deploying, monitoring and managing large datasets for investigation and analysis.
Artificial Intelligence Platform A software platform for development, integration and management of Artificial Intelligence components such as data input (e.g. speech recognition, image recognition), devices (e.g. bots) and intelligence functions (e.g. problem solving, algorithms, machine learning).
Chatbots, Machine learning, deep learning Chatbot is a computer program to simulate conversation or “chats” of a human being through text or voice.
Machine learning application program provides systems the ability to learn and improve without being explicitly programmed and access data and use it to learn for themselves.
Deep learning is a subset of machine learning concerned with emulating the learning approach that human beings use, deploying artificial neural networks to automate predictive analytics.
Data center & virtualization
Hardware All-flash/hybrid storage arrays Flash storage, also referred to as Solid State Array (SSA), is where data is stored in stationary medium, as opposed to Hard Disk Drives which store data on a spinning medium. Hybrid Arrays offer a mix of Flash Storage and Hard Disk Drives.
Converged/ hyper converged Infrastructure Converged Infrastructure (CI) and Hyper-converged infrastructure (HCI) offers core IT infrastructure (compute, storage, networking and servers) in a single unit. Hyper-Converged Infrastructure (HCI) appliances are optimized with a software-layer which enables greater functionality to manage the underlying infrastructure (including features such as WAN optimization).
Software Server virtualization Server virtualization software helps in increasing the utilization rates of physical servers. The software typically partitions a physical server into smaller virtual servers, with each virtual server acting like a unique device running its own operating system.
Storage virtualization Storage virtualization software pools physical storage form multiple network storage devices into a single storage device which can be managed from a single console. The software abstracts or isolates the internal functions of a storage system or service from applications, host computers or general network resources, thereby enabling application and network independent management of storage or data.
Network virtualization Network virtualization technologies abstract the services provided by a physical network infrastructure to create a flexible pool of transport capacity that can be allocated, utilized and repurposed on demand. These virtualized networks are programmatically created, provisioned and managed, and present logical network components such as logical switches, routers, firewalls, load balancers, and VPNs to the connected workloads.
Desktop virtualization Desktop Virtualization software delivers virtualized desktop environments, which can be accessed by end users from different devices at different locations, through a single platform.
Software defined storage Software used to separate management of storage from its underlying physical hardware, providing users with the flexibility to aggregate or scale-out storage resources across server infrastructure based on conditions and policies.
Service Colocation Co-location services include the provision of data center facilities in which the service providers lease space to their clients for servers and other computing hardware. The service providers typically provide the building, cooling, power, bandwidth and physical security while their customers own all the hardware (including servers, storage, network, etc.) and software components.
Application hosting Application hosting includes outsourcing of one or more applications to a designated application services provider. A hosted application can run in an organization’s own data center or in the service provider’s data center. A hosted application can run in an organization’s own data center or in the service provider’s data center.
Web hosting Web hosting service provides the necessary servers, platforms and services needed for hosting a website or webpage on the Internet.
Shared Hosting Shared hosting is hosting of multiple websites on a single web server connected to the Internet with a Shared Hosting Plan.
Dedicated hosting Dedicated hosting is leasing an entire server or a group of servers, as compared to a shared server for website hosting.
Managed data center services Hosting and data center services typically include data center modernization services, mainframe management services, and managed server services.
Managed Storage services Managed storage services involve the management of NAS and SAN data storage, ensures availability of data, scalability, and back-up and archiving services which refer to back-up and restore services for devices including desktops, laptops, and PDAs.
Enterprise applications
Software CRM (e.g. salesforce) Customer Relationship Management (CRM) applications provide enterprises with better customer insight and interactions, increased customer access, and tight integration across all customer channels and back office processes. CRM applications typically cover areas such as Customer Service Automation, Marketing Automation and Sales Force Automation.
ERP (e.g. Oracle ERP) Enterprise Resource Planning is an integrated suite of business applications that support all the core functions of an organization, including areas such as inventory control, accounting, production, logistics, and human resources.
Finance and accounting (e.g. Sage) Financial and accounting applications include software products that typically offer some or all of the following functionalities: Financial Asset Management, Purchase Order and Receivables Management, General Ledger, Tax Accounting, Management Accounting, Financial Reporting, Invoicing and Payments Management, Cash Flow Management, and Financial Planning and Budgeting.
Supply chain management (e.g. SAP) Supply Chain Management applications include software products that streamline the flow of products, services and related information from source to customer, typically offering some or all of the following functionalities: Supplier Relationship Management, Supply Chain Planning, and Supply Chain Execution.
HR management Human Resource and Payroll applications include software products for the management of HR-related transactions, best practices and enterprise reporting that typically provide some or all of the following functionalities: Payroll, Workforce and Recruitment Management, Time and Attendance Management, Benefits and Incentives Management, Competency Management, and Employee Performance Management.
Product lifecycle management Product Lifecycle Management Applications include software products that support product portfolio strategy, product lifecycle planning, management of activities, and the execution of those activities through each phase in a product’s life. They typically offer some or all of the following functionalities: Product Ideation, Product Design, Product Engineering, Manufacturing Process Management, Product Data Management and Product Portfolio Management.
Office productivity application (e.g. Microsoft Office) Office Productivity products typically include an integrated suite of applications that allows enterprises to manage their internal and external communications (through e-mail and social media), analyze data (using spreadsheets or inbuilt databases), and create documents that can be easily exchanged and modified.
Commerce Commerce applications include software products that support trading in goods and services and facilitate business functions such as online shopping, payments and order processing.
Vertical-specific application Vertical Specific Applications include all software products which facilitate business functions in different industry verticals, and which do not fit into our existing enterprise application categories (HR, ERP, Finance, CRM, PLM, Office Productivity, and SCM). This segment also includes standardized applications customized for specific client segments (e.g. by enterprise size, location, requirements) sold as single/bulk units.
Internet of Things (IoT)
Hardware Network sensors A group of sensor nodes with each node capable of detecting physical phenomena such as light, heat, pressure, etc.
Near field communications A short-range wireless connectivity technology that works on the mechanism of magnetic field induction facilitating contactless communication between devices thereby enabling them to exchange data.
Telematics and RFID Telematics refers to the use of wireless devices in facilitating the real time transmission/exchange of data. Typical applications of telematics include vehicle tracking, fleet management, satellite navigation, wireless vehicle safety communications, emergency warning systems for vehicles, and car-sharing.
RFID (Radio-Frequency Identification) are electronic devices which consist of a chip and antenna and are capable of carrying small amounts of data, providing a unique identifier to the object it is embedded in. The RFID device must be scanned to retrieve the stored information about the object. Typical applications of RFID include tags, readers, signalling, and miniaturization.
Grid sensors Grid sensors facilitate the detection of events in a sensor network, thereby enabling the remote monitoring of power generation and transmission equipment such as transformers and power lines. They also facilitate the demand-side management of resources on an energy smart grid.
Security sensors Devices that sense unusual conditions within a communication system and provide a warning signal indicating the occurrence/presence of a disturbance to the remote alarm indicator.
Software Enterprise IoT Platform A complete solution for connecting and managing M2M/IoT devices, monitoring and analyzing data captured from devices, and designing the user experience for end-users.
IoT/M2M security Platforms responsible for safeguarding connected and M2M devices and networks linked to internet.
AutoID and mobility technologies Technologies which facilitate the automatic identification of data objects using a diverse set of methods and devices such as scanners, readers, and RFID.
Real-time location tracking Systems that identify the current location of an object by embedding a real-time location tracking system hardware/chip in the object, consisting of wireless nodes such as tags or badges. Most real-time location tracking systems are based on Wi-Fi, Bluetooth, RFID, and GPS wireless technologies. Typical applications of real-time location tracking systems include: fleet tracking, inventory and asset tracking, network security, and navigation.
Constrained application platform A web transfer protocol designed for machine-to-machine (M2M) applications, which is used with constrained nodes and constrained networks in the Internet of Things framework.
Supervisory control and data acquisition (SCADA) Includes systems which gather and analyze real time data. It is used to monitor and control industrial equipment, alerting organizations about abnormal events or any wear and tear in the equipment. The system also identifies the exact part which is hit by an unusual event and the criticality of the event.
Connectivity Cellular Cellular IoT is designed for requirements of low-power, long-range applications using existing technology (smartphones) and scales to meet the needs of 2G, 3G or higher category 4G modems.
LPWAN Low-power wide-area network is a radio technology used for wireless data communication in IoT applications and M2M solutions that provide a significant real-time, big data processing bandwidth.
Short Range Short-Range Connectivity technologies are Bluetooth, Wi-Fi, and ZigBee to cover limited areas measured in meters.
Satellite Investments in satellite connectivity dedicated to IoT devices to provide communications in remote areas through low-earth orbit (LEO) satellites and ground station for device that can be rapidly deployed on terrestrial-based solutions and create worldwide connectivity.
Wireline Investments in wireline network that includes interlinked connection and redistribution systems for information transmission like voice and data to travel electronically.
Mobility
Software Mobile application development Platform for developing applications for small, wireless computing devices such as smartphones or tablets, and wearables.
Mobile device management Software which helps enterprises secure, monitor, manage and support a variety of mobile devices deployed across an organization.
Mobile content management A type of content management system capable of storing and delivering content and services to mobile devices, such as mobile phones, smartphones, and PDAs.
Telecom expense management Includes all types of software solutions that enable systematic analysis of telecom service orders, inventory and bills regarding enterprise telecom services.
Service
M2M service M2M Services provides remote management, connectivity and hardware communication solutions to monitor and manage remote assets.
Managed mobility Managed Mobility Services (MMS) complete solution which offers mobile device management services for provisioning, deployment and control, helpdesk and support services for devices (e.g. repairs), mobile applications stores and customization (e.g. for fleet management), expense management, usage reporting, policy management and security services. MMS can also include consulting engagements to assess best implementation methods, front-end design solution and service-level agreement protection.
Mobile security Mobile security services aim to protect devices from malware and reduce the risk of a data breach. Service providers safeguard corporate data and applications by ensuring secured access to enterprise systems. They also include consulting services for the identification and mitigation of risks in applications and mobile endpoints throughout the enterprise.
Network
Hardware Core Ethernet switches Ethernet switches are computer network devices that use processes and forwards data for each individual connection at layer 2 and layer 3 functionality. Each connection has a separate collision domain. Network hubs and switches provide multiple devices to connect with each other within one local area network (LAN). Other devices included in this segment include LAN Edge/Access switches (for Branch, Data Center and Campus). This segment also includes SDN-ready devices. This product line includes core switches, distribution switches and access switches. Core switches feature a high density of high capacity network ports used to connect downstream infrastructure and are primarily used to interconnect large campus networks. These switches offer high software and hardware redundancy and availability. These switches may also perform routing and WAN forwarding as well.
Distribution Ethernet switches Distribution switches interconnect access switches to core switches and have a moderate port density of high capacity ports compared to core switches. Switches in this class may also be used in the spine of a leaf/spine architecture. Distribution Ethernet switches are small core or dense access switch, positioned to be used for the distribution later.
Access Ethernet switches Access Ethernet Switches connect nodes like workstations, servers, wireless access points, and storage systems to the network. Access switches have a large number of lower capacity ports facing client nodes and a smaller number of uplink ports connecting to distribution and core switches. Access switches have features such as stacking, power of Ethernet, and port security functions.
White Box Switches White Box switch is a network switch assembled from standardized components with minimal pre-loaded software sold as a bare metal device.
WAN optimization appliance Provides range of features to improve the efficiency of traffic flow through WAN by traffic shaping, data de-duplication, compression, data caching, network monitoring, and protocol spoofing.
Software Campus SDN SDN platform for enterprise and university campus to push policies in a campus networks in a systematic and automated way for simplification of campus network management.
Data center SDN SDN platform to build and operate secure, responsive data center networks from a central location and automate the network of a data center infrastructure.
SD-WAN Software Defined WAN (SD-WAN) includes overlay networking products that interconnect remote offices and cloud services to central sites. SD-WAN products maximize application reliability, by intelligently load balancing WAN connections and simplifying WAN management.
Application delivery controllers (ADCs) Application delivery controllers (ADC) optimize network traffic for application usage over the web such as load balancing, session management, compression, and TLS off-load for servers. ADC’s can be executed through physical or virtual machines in the data center and can be deployed in a variety of locations. ADC’s also offer automation and integration capabilities making them suitable for cloud and NFV environments.
System and network management platform Systems and Network Management software monitors the usage and performance of IT systems and network devices. Included within this segment are Network Management, Performance Management, Systems Management and Event Automation, excluding SDN controller platforms and SD-WAN software.
Service VPN (IP/MPLS, or site-to-site) IP/MPLS VPN enables routing of network traffic across a MPLS (Multi Protocol Label Switching) backbone, usually paired with traffic marking and network performance guarantees. IP/MPLS VPNs are typically configured to be logically separate from public IP traffic for greater network security. The market for Hybrid VPN services, which combines IP/MPLS VPN and IPsec VPN, has been included in our forecast of the IP/MPLS VPN market.
Site-to-Site VPN which includes all site-to-site VPN services offered by service providers. Site-to-site VPNs use IPsec tunneling over the public Internet as the primary mechanism for traffic segregation. Our forecast of the Site-to-Site VPN market also includes SSL (Secure Sockets Layer) VPNs and Remote Access VPNs
SD-WAN A managed service to handle all design, deployment, maintenance, and continuous monitoring of an enterprise internal network using SD-WAN platforms.
Ethernet LAN Also called VPLS (Virtual Private LAN service) includes the provision of a point-to-multipoint or multipoint-to-multipoint service which operates similar to a VPN connection, but on Layer 2 switching standards. The service provides high capacity links with similar bandwidth increments to MPLS services.
Ethernet Private Line Provides high speed and secure communications by establishing direct, dedicated connectivity between two sites. Private line services are usually charged on the basis of bandwidth requirement and distance over which the private line is to be established. Charges for last-mile connectivity between the vendor’s POP (Point of Presence) and customer premises are billed separately, and have not been included in our market forecasts.
WAN acceleration and optimization The category of technologies and techniques used to maximize the efficiency of data flow across a wide area network (WAN). Typically includes traffic shaping, data de-duplication, compression, data caching, network monitoring, and protocol spoofing.
Wavelength services Wavelength Service is provision of large bandwidth connection providing high-speed Internet or data service through high capacity connections (fiber-optic lines) between two sites.
Content delivery network (CDN) A service which caches web content in multiple Points of Presence (PoP) to increase the speed of content delivery on websites to end-users, as well as reduce load on web servers.
Managed Network services Managed Network Services includes Managed WAN, Managed SD-WAN, Managed WAN Optimization, Managed LAN and Managed Wireless LAN services. Managed network services offer a variety of monitoring, support and development services, including helpdesk services. Such services can also be delivered via the internet on cloud platforms (e.g. SD-WAN as a service or Cloud Managed WLAN services).
Security
Hardware Content filtering/anti-spam/firewalls/VPN Web Security hardware providing secure access to websites and web based applications. Also includes URL filtering, Web anti-malware, Web application firewalls, and Web content filtering products.
Network access security equipment (e.g. Intrusion prevention systems, multi-factor authentication) Network access security equipment is used for controlling the security of devices that attach to the enterprise network.
Intrusion prevention systems: Network appliance which specifically focuses on identifying and preventing malicious activity within an organizations network, typically using deep-packet inspection.
Unified Threat Management (UTM) appliance A converged security appliance connected to the local network which provides numerous individual security functions in a single unit, including reporting, anti-virus, intrusion prevention system, web security, firewall, VPN, application control and load balancing.
Software Application security (secure application development) Includes vulnerability assessment and code scanning functions. Application security platforms enable investigating, understanding and managing vulnerability of software and applications in its development lifecycle phases (from pre to post-development), therefore ensuring secure design and coding of applications where sensitive data is protected by policies and classifications.
Data security (encryption, data loss prevention) Composed of data protection software for business critical or all internal data within an organization, alongside data protection suites, other software includes:
• Data Loss Prevention (DLP): Enables use of rules and policies to limit the movement and transfer of confidential and business-critical information within and outside of the enterprise network.
• Encryption Software: Tools which enable enterprises to encrypt endpoint devices, removable media, systems and data on-premises and in the cloud.
Endpoint security Includes:
• Endpoint Security Software (Signature-Based): Anti-virus/malware software which uses a list of known signatures assigned to identified threats to alert and prevent viruses on end-user devices.
• IoT and SCADA Endpoint and Data Security: Includes features and functionality to secure ‘Internet of Things’ connected devices – including SCADA and Industrial Control System (ICS) devices, the embedded operating system and the data produced by and captured from such devices – through authentication, encryption and certification and other security-related functions specific to those devices. The software also enables real-time monitoring of potential suspicious activity in the communication between the IoT device and enterprise network.
Endpoint threat detection and response (IDP/UTM) Software which provides real-time monitoring to detect anomalous activity and suspicious activity on an end-user device connected to/used to connect to an enterprise network. Once identified the software enables users to act immediately/create policies to respond to potential threats.
Fraud prevention and transactional security Software specifically to guard financial transactions through multiple authentication and encryption functions, as well as, monitor suspicious activity in the transaction process to identify potentially fraudulent behavior.
Identity & access management Identity & access management (IAM) solutions are used to set privileges to end-users based on their profiles to access company resources. IAM solutions are mainly used to restrict end-users from unauthorized access within and outside a company and to monitor end-users’ behavior in a network.
Messaging security (Email, SMS, Online) Messaging security is used to secure a company’s messaging infrastructure, with the capacity to filter internet messaging services such as e-mail and instant messaging (IM) services. It is used to secure confidential information in e-mails and short message services (SMSs) by integrating various security techniques such as encryption, content filtering, and data loss prevention (DLP). It comprises a wide range of security solutions such as Mail Server Anti-virus, Anti-spam, Anti-phishing, Messaging Information Protection and Control (IPC), and Secure Email, thereby helping to protect companies’ confidential information from unauthorized access. Includes encryption software and Data Leakage Prevention (DLP)
Web security (secure web gateways, web application firewalls) Covers protection when accessing the internet from within the enterprise and applications hosted or accessed via the web, including:
• Secure Web Gateways: Provides secure access to websites and Web-based applications. Web security software consists of functions such as URL filtering, Web anti-malware and Web content filtering products.
• Web Application Firewalls: Firewalls which monitor, identify and prevent suspicious data packets targeted at applications connected to the Web.
IT security management (automation, policies, threat intelligence aggregation) IT security management is a set of managed policies and procedures for managing an enterprise sensitive data to minimize risk of a security breach and ensure business continuity.
Server/ mainframe security Covers protection of server environments within enterprise data center. Server Workload Security software (or Data Center Protection Software) for server environments with either physical, virtual and cloud deployments and is required for enterprises with varying workloads on servers. Server security software monitors and provides visibility of threats across all workloads and platforms. Other functions include single-console management, virtualization security, cloud security, storage protection and core server security.
Virtual firewall Software-based Firewall used to control traffic flow between virtual machines in a virtualized environment.
Cloud security Solutions that protect hybrid, private, and public cloud deployments through control based technologies and policies designed according to regulatory compliance for protecting data stored online from theft, leakage and deletion.
Service Business continuity Business continuity management services ensure the continued availability of critical IT resources against the potential loss or damage caused by disruptions, disasters, or IT security breaches.
D-DOS mitigation These services enable organizations to protect themselves from Distributed Denial of Service (DDoS) attacks, which are intended to bring down enterprise networks, applications and services by overwhelming these enterprise resources with too much data.
Managed access & authentication Identity and Access Management (IAM) services focus around addressing the complete requirement of the customer relating to Identity management, starting from the time they join the organization and get automated access to the various applications, to requesting for access to new applications or being able to seamlessly reset their own credentials and conduct self-service around the provisioned identities. IAM services include user provisioning, web access management, enterprise single sign-on, multi-factor authentication, and user activity compliance services.
Managed Security Managed Security Services (MSS) is defined as third-party monitoring and management of IT security to an enterprise, alongside customer support services, typically MSS includes provision of services such as Business Continuity Services, Clean Pipes, DDoS Mitigation Services, Emergency Incidence Response, Governance, Risk and Compliance Services, and Patch Management.
Managed detection and response (MDR) Managed Detection and Response (MDR) Service are cyber security service with Artificial Intelligence (AI) techniques and machine learning to provide proactive and predictive high speed cyber defence.
Security information and event management (SIEM) Security Information and Event Management (SIEM) service providers offer real-time SIEM through user activity log collection, aggregation, and storage services. Enterprises get access to global security skills and research capabilities to help them effectively identify and respond to security threats, manage compliance and reduce the cost and complexity of managing SIEM technology.