Information Svrs Stock Price, News & Analysis

Information Services Group (ISG), a global technology research and advisory firm, has announced the release of its third-quarter financial results on Thursday, November 7, 2024, at approximately 4:15 p.m., U.S. Eastern Time. The company will host a conference call with investors and industry analysts on Friday, November 8, at 9 a.m., U.S. Eastern Time.

Dial-in details for the call are provided: U.S. participants can call +1 (800) 715-9871, while international participants should dial +1 (646) 307-1963. The security code for access is 8229408. Participants are advised to dial in at least five minutes before the scheduled start time. A recording of the call will be available on ISG's investor relations page for about four weeks following the event.

The global IT and business services market reached a new high in Q3 2024, according to the ISG Index™. Combined global market ACV rose 15% to a record $26.7 billion, driven by a 23% increase in XaaS (as-a-service) and a 5% growth in managed services. This marks the fifth consecutive quarter of sequential growth since Q2 2023.

Key highlights:

• XaaS segment climbed 23% to $15.8 billion
• IaaS surged 30% to $11.9 billion
• SaaS grew 5% to $3.9 billion
• Managed services hit a record $10.9 billion, up 5%
• 690 managed services contracts awarded, including 9 mega-deals

ISG maintains its 2024 forecast of 2% growth for managed services and 14% for XaaS, with stronger growth expected in 2025.

The 2024 ISG Provider Lens™ Next-Generation ADM Services report for Europe highlights the transformative impact of Generative AI (GenAI) on the European application development and maintenance (ADM) market. Key findings include:

1. GenAI is revolutionizing ADM by automating complex tasks, reducing development cycles, and improving accuracy.

2. There's a growing demand for flexible, tailored, and scalable ADM solutions compliant with European regulations like GDPR.

3. Adoption of GenAI requires substantial initial investments and poses challenges in data privacy and ethical AI use.

4. Agile and DevOps approaches are widely adopted for improved time to market and operational efficiency.

5. Large providers dominate the next-gen ADM space, while smaller providers focus on niche markets and specialized services.

The report evaluates 38 providers across four quadrants, naming several companies as Leaders and Rising Stars in various categories.

AWS ecosystem growth in Asia Pacific is fueling digital transformation across industries, according to a new ISG Provider Lens™ report. The region's rapid economic growth has led to increased investments in cloud-based business solutions. Enterprises are seeking AWS partners with local expertise to navigate technological maturity and regulatory requirements.

Key trends include:

• Cloud adoption for cost reduction and IT modernization
• Rising demand for managed services, serverless technology, analytics, and AI
• Increased use of microservices architectures and containerization
• Growing emphasis on industry-specific AWS expertise
• Rapid migration of SAP applications to AWS
• Rising hybrid and multi-cloud adoption
• Focus on FinOps capabilities for cost management

The report evaluates 33 providers across four quadrants, naming several Leaders in each category. It also highlights challenges such as external threats, cost management, and sustainable cloud operations.

The 2024 ISG Provider Lens™ Next-Gen ADM Services report for the U.S. highlights the growing adoption of AI and cloud technologies in application development and management (ADM) strategies among U.S. enterprises. Key findings include:

1. AI-driven ADM services are transforming IT operations, improving efficiency, software quality, and reducing downtime.
2. Companies are exploring generative AI (GenAI) for automating test creation and scenario simulation in quality assurance.
3. There's an increasing trend towards provider engagements covering both applications and underlying IT infrastructure.
4. Cloud-native development is gaining popularity for its scalability and flexibility.
5. Integration of site reliability engineering (SRE) with AI for IT operations (AIOps) is enhancing system performance insights.

The report evaluates 51 providers across six quadrants, naming several as Leaders in multiple categories.

Foundever, a global leader in customer experience (CX), has been recognized as a Top Global Leader in the 2024 ISG Provider Lens™ Contact Center - Customer Experience Services Global Report. The company excelled in three quadrants: Intelligent Agent Experience, Intelligent CX (AI & Analytics), and Digital Operations.

This marks Foundever's fifth consecutive year as a Global Leader in Intelligent CX and fourth continuous year as a Leader in Digital Operations. The report highlights Foundever's successful transformation in the CX management landscape, emphasizing its strong market position and commitment to leveraging AI and advanced technologies.

Foundever's strengths include:

• Effective deployment of GenAI to enhance agent experience
• Highly differentiated CX-centric intellectual property products
• Strong global presence across more than 45 countries
• Robust CX service offerings backed by exemplary domain knowledge

The 2024 ISG Provider Lens™ Next-gen ADM Services report for Asia Pacific reveals a surge in application development and maintenance (ADM) adoption across the region. Enterprises are rapidly embracing new ADM technologies as part of their digital transformation efforts, driven by the need to upgrade legacy systems, migrate to the cloud, and integrate advanced technologies like AI and ML.

Key findings include:

• The global ADM and infrastructure services market grew 57% in Q2, largely due to demand in emerging APAC markets
• Companies are outsourcing application development functions to handle complexities and focus on core business goals
• Cloud-native development and application managed services are gaining popularity
• AI, automation, Agile, and DevOps practices are being adopted to enhance efficiency and software quality
• The report evaluates 35 providers across three quadrants: Agile Application Development Outsourcing, Application Managed Services, and Application Quality Assurance

The 2024 ISG Provider Lens™ global Next-gen ADM Solutions report highlights the increasing adoption of advanced low-code/no-code platforms with AI-enabled features by enterprises for building complex applications. Companies are seeking platforms with intuitive interfaces for non-technical employees and the ability to create enterprise-grade software.

AI is delivering benefits throughout development cycles, enabling automation of decision-making, code generation, and security vulnerability identification. Generative AI is simplifying development by creating visual elements based on preferences or descriptions.

Key features in demand include robust version control, project management, real-time collaboration, and component-based architectures. Security and compliance are increasingly important, with expectations for data encryption and access controls. The report also notes the rise of hybrid development capabilities in no-code platforms, allowing for customization with coding when needed.

The 2024 ISG Provider Lens™ Contact Center – Customer Experience Services report for Europe highlights the growing demand for advanced CX tools in European enterprises. Key findings include:

1. Businesses are seeking provider support for analytics, omnichannel engagement, and personalization to enhance both customer and agent experiences.

2. AI-powered systems are automating processes, allowing agents to focus on complex issues.

3. Balancing technology and human interaction remains crucial, with customers valuing empathy from human agents.

4. Generative AI has potential to transform CX but faces adoption challenges due to security concerns.

5. The report evaluates 28 providers across three quadrants: Digital Operations, Intelligent Agent Experience, and Intelligent CX (AI & Analytics).