Welcome to our dedicated page for Information Svrs news (Ticker: III), a resource for investors and traders seeking the latest updates and insights on Information Svrs stock.
Information Services Group, Inc. reports developments as a global AI-centered technology research and advisory firm serving enterprise technology and business-services markets. The company publishes research on digital transformation, AI adoption, sourcing, cloud and data analytics, provider ecosystems, governance, risk, software, network and technology strategy.
Recurring news includes ISG Provider Lens® studies across industries such as healthcare, life sciences, aerospace and defense, automotive and mobility, SAP ecosystems and global capability centers. Company updates also cover quarterly results, GAAP and non-GAAP performance measures, advisory-market trends and the role of AI, automation, data platforms and managed services in enterprise operations.
Enterprises globally are increasingly adopting cloud-based contact centers, according to a recent ISG report. The pandemic has accelerated the shift towards digital customer experience (CX), leading to a surge in contact center outsourcing. As companies embrace a cloud-first strategy, AI technologies, including bots and analytics tools, are enhancing customer interactions. Flexible work models have become essential for talent retention in a competitive labor market. The report evaluates 30 service providers, naming leaders in various CX service quadrants, signaling evolving demands in the sector.
The ISG Provider Lens™ report highlights the cloud-native technology landscape in the U.S., indicating a plateau in adoption after years of growth. While many developers utilize cloud-native technologies, legacy systems still dominate applications in enterprises. The report emphasizes the scalability and speed offered by container-based microservices but notes the need for new skills and specialized security measures. VMware leads in three quadrants, while Dynatrace, Red Hat, and Sysdig excel in two. Tech Mahindra is recognized as a Rising Star in cloud-native services.
Spending on cloud services in Asia Pacific decreased significantly in Q3 due to economic concerns and ongoing disruptions in China. The latest ISG Index™ reported a 29% drop in annual contract value (ACV), totaling $3.1 billion. XaaS ACV fell 37% year-on-year to $2.4 billion, with IaaS down 40% and SaaS 15%. Managed services, however, saw a 17% increase in ACV to $745 million. The overall ACV for YTD was $10.6 billion, marking a 14% decline. Economic uncertainty is expected to impact future growth forecasts.
ISG Report Highlights Growing Demand for Contact Center Services
The latest ISG Provider Lens report reveals a surge in U.S. demand for contact center services as companies prioritize customer experience. The COVID-19 pandemic has accelerated digital transformation, leading businesses to outsource contact centers to enhance technology and service quality. Notably, AI and analytics are improving customer engagement, while the tight labor market for skilled employees poses challenges. The report ranks key providers, with Conduent, HGS, and others designated as leaders.
Information Services Group (Nasdaq: III) reports a 1% year-over-year increase in third-quarter annual contract value (ACV) for the Americas' IT services, totaling $12.4 billion, but a 2% sequential decline. While demand for XaaS solutions remains strong, it has slowed from prior highs, achieving $7.9 billion in ACV, up 9% year-over-year but down 2% sequentially. Managed services revenue fell 11% year-over-year to $4.5 billion. ISG maintains a 3.5% growth forecast for managed services but lowers its XaaS forecast from 18% to 10.5%.
Information Services Group (III) will announce its third-quarter financial results on November 3, 2022, at approximately 4:15 p.m. U.S. Eastern Time. The firm will hold a conference call for investors and analysts the next day at 9 a.m. Participants can join via U.S. number 833-927-1758 or international number +1 929-526-1599, with the security code 121223. A recording will be available on the ISG website for four weeks post-call.
ISG Provider Lens™ report reveals that enterprises are increasingly outsourcing contact center operations to cloud-based as-a-service providers. This trend is driven by staffing challenges and the need for advanced customer engagement capabilities via AI and analytics. The report notes that AI tools can resolve up to 80% of customer issues, enhancing efficiency. Companies not meeting customer expectations risk losing business, making customer experience a top priority. Notable leaders in the market include 8x8, Amazon Connect, and Genesys, among others.
Information Services Group (III) reported resilient growth in EMEA's IT and business services market for Q3, with a combined ACV reaching $7.6 billion, reflecting a 7% year-over-year increase. However, sequential growth has slowed for two consecutive quarters, primarily due to declining demand for SaaS, which dropped 14% to $924 million. Managed services saw a record 281 contracts signed, up 15% year-on-year, while IT outsourcing rose 21% to $3.1 billion. YTD ACV hit a record $23.2 billion, but ISG has adjusted growth forecasts downwards amid economic uncertainties.
Workday's migration to cloud-based solutions is rapidly changing workforce management in the U.S. public sector, especially post-COVID-19. The 2022 ISG Provider Lens™ Workday Ecosystem report highlights the challenges faced by governments in attracting and retaining employees due to economic disruptions. Workday provides a unified HCM platform that is gaining traction, allowing organizations to improve service delivery. However, the shortage of skilled Workday experts necessitates engaging service providers for effective implementation. The report evaluates 18 providers, naming several as Leaders across different quadrants.
ISG Provider Lens™ report highlights that European enterprises are increasingly adopting Workday for human capital management modernization amid rising digitalization and pandemic influences. The report notes a growing demand for cloud-based solutions, particularly in the U.K., Germany, and Nordic regions. Workday is adapting its offerings to meet local needs, while consulting and managed services are expected to expand as enterprises navigate complex transitions. Key service providers such as Accenture, Alight, and Deloitte are recognized as leaders in the ecosystem.