Network infrastructure services (NIS) revenue grows, fueled by a higher volume of cloud networking and security engagements, says TBR.
Customers’ investments in ICT transformation initiatives led to a 5.9 percent increase in network infrastructure services (NIS) revenue for benchmarked vendors, according to Technology Business Research, Inc.’s (TBR) latest Network Infrastructure Services Benchmark.
Product-centric vendors continued to lead in revenue over services-centric peers, primarily due to a high volume of maintenance contracts tied to network infrastructure deployments with large enterprise customers. IT services suppliers are growing revenue steadily, capitalizing on professional services opportunities with enterprises, including C&SI engagements related to cloud and network security.
The growth driver is the enterprise adoption of cloud and virtualization.
“Cloud creates a new way of thinking about network architectures, laying the groundwork for suppliers to provide a higher volume of C&SI services required to bridge existing architectures while onboarding customers to cloud delivery models,” said TBR Analyst Patrick Filkins.