Networks Slowing Biz Growth, Say CEOs
- By CDOTrends editors
- November 01, 2022
Immature networks have been identified by 70% of chief executives as hurting delivering their core business.
The 2022 Global Network Report from Japan’s NTT Ltd found that hybrid, distributed work environments with multiple connected devices are becoming prevalent. But only two in five respondents said they were “very satisfied” with the capabilities of their current network.
While not happy with their networks, more than 90% of CEOs relied on them to enable their business growth. Meanwhile, 91% said they needed the network to supply artificial intelligence applications.
At the same time, 72% of the top-performing businesses are outsourcing more than half of their network infrastructure, and more than 90% of the CEOs prefer the network-as-a-service model, citing the flexibility to scale up and down as a significant benefit.
94% of respondents said their organization was looking to partner with a Managed Service Provider or single specialist provider.
The NTT survey found that the top trends driving the modernization of the enterprise architecture are cybersecurity, cloud-native platforms, private 5G, and the hybrid workplace.
“Levels of investment in the network have surged, with the results of this research showing many organizations are leaning towards key partners and managed service solutions to fulfill their requirements,” said Amit Dhingra, executive vice president at NTT Ltd. Network Services.
“This is primarily to drive security and gain access to skills that can optimize capability and accelerate innovation-based advances.”
Dhingra said that the technology industry was modernizing network services, and many of the solutions currently being used by a minority “will become standard inside just two years.”
“In the long term, blockchain, further AI and automation, AR and VR, quantum networking, 6G, and photonic computing will affect how networks are delivered,” he said.
Jigsaw Research conducted the survey on behalf of NTT Ltd. across 21 countries spanning five regions in July and August this year. Respondents came from 16 industry sectors.
Image credit: iStockphoto/Talaj