NTT study: Network as growth inhibitor
Seventy percent of CEOs say their network is holding back business growth, according to the alarming findings of NTT's latest Global Network Report 2022-23.
Over 1,300 network professionals worldwide were surveyed for the report. What they have in common: They reveal a need to catch up in network modernization.
The most important findings
- 70 percent of CEOs worldwide say that the maturity of their network has a negative impact on the development of their business.
- 72 percent of the highest-performing companies already outsource more than half of their network infrastructure
- 94 percent of those in charge want to take their network into the future with a managed service provider.
- The key trends in terms of enterprise network modernization are: Cybersecurity, cloud platforms and the hybrid
NTT Ltd, a global IT infrastructure and services company, has released its Global Network Report 2022-23. The annual report reveals that 70 percent of CEOs believe their network maturity is negatively impacting their business operations. The adoption of hybrid, distributed work environments with numerous networked devices is on the rise in enterprises.
Despite investments, however, only two out of five companies are satisfied with their current network capacities. "This shows that we are entering a new era of network modernization. According to the report, 90 percent of executives want to rely on their network environment to accelerate their business growth and support AI. We're talking about AI in Operations, or AIOps," said Hajar El Haddaoui, senior director and member of the executive team at NTT Ltd. in Switzerland.
Secure hybrid environments
As hybrid working models offer far more opportunities for external attacks, network security has become massively more important as an essential part of the network architecture. This is driving enterprises to embrace centralized and cloud-based security solutions and a managed security model. It is also increasing investment in network cybersecurity. "From the report, 93 percent of executives believe that new threats will increase the security demands on their enterprise network, requiring an increased level of access controls and inspection," said Hajar El Haddaoui.
Towards network-as-a-service models
The executives surveyed say that security, modernization and access to a comprehensive range of services from their provider are their top priorities, ahead of cost. In terms of managing the network, more than 90 percent of decision-makers prefer the network-as-a-service model, citing flexibility in setup and tear-down as the main benefit. In addition, the complexity of deploying effective AIOps and automation solutions makes the network-as-a-service model even more attractive. This is especially true in light of the fact that while the solutions are complex to configure at the outset, they subsequently simplify ongoing network operations.
"A future-proof network is of utmost importance for any organization to realize growth opportunities. We observe in the Swiss market that a modern infrastructure strengthens the innovative power and future security of companies and organizations. Managed service solutions accelerate this development," summarizes Hajar El Haddaoui. The innovation trailblazer's recommendation: "The network serves as a platform for digital transformation. It forms the basis for digital services, business models and innovation. With the network-as-a-service approach, we position ourselves as a strategic partner in the market, which inspires the scalability, innovative power and growth potential of our customers. Web3, edge computing, 5G, Metaverse, blockchain, automation and all the exciting future models can be realized quickly and effectively in diverse verticals as well as in eHealth using state-of-the-art enterprise networks."
The report concludes with seven considerations for leaders who want to develop and future-proof their network. The full Global Network Report 2022-23 can be found at following link.
The report is based on research conducted by Jigsaw Research on behalf of NTT Ltd. in July and August 2022 in 21 countries across five regions. The research covered 16 industries, including retail and wholesale, manufacturing and automotive, financial services, technology and healthcare. The study is based on a sample of network decision makers and influencers in IT and other business areas.
NTT Ltd. ranks among the leaders in the Gartner® Magic Quadrant™ for Enterprise Network Services. Among 18 network service providers, NTT Ltd. ranks highest in both completeness of vision and ability to execute.