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Australia’s Rapid Cloud Growth Lifts Microsoft Platforms

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Cloud migration in Australia is accelerating, with enterprises increasingly moving complex applications to Azure, according to ISG's 2022 Provider Lens™ report. Demand for cloud-certified experts is rising, especially in technologies like AI and cybersecurity. COVID-19 has accelerated this trend as companies seek cost reductions and agility. The report evaluates 43 providers, naming Accenture/Avanade, DXC Technology, TCS, and Wipro as Leaders across all five quadrants. Local providers are emerging, challenging global competitors while adapting to market needs.

Positive
  • Growing demand for cloud migration services in Australia, indicating strong market potential.
  • ISG's report identifies multiple leading providers, suggesting a competitive and robust service landscape.
  • Emerging local providers are challenging global players, fostering innovation and adaptation in the market.
Negative
  • Shortage of cloud-certified experts in key technologies could hinder growth and implementation.

Cloud migrations are accelerating and maturing, with enterprises now moving more complex applications to Azure, ISG Provider Lens™ report says

SYDNEY--(BUSINESS WIRE)-- Enterprises and government agencies in Australia are migrating to the cloud at a rapid pace that is expected to increase significantly over the next five years, according to a new research report published today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

The 2022 ISG Provider Lens™ Microsoft Ecosystem Partners report for Australia finds enterprises already using Microsoft Azure are now focused on implementing app-driven modernization of their cloud presence. Cloud-based Microsoft platforms such as Microsoft 365 are also part of this trend.

“Many Australian companies are already mature cloud adopters,” said Scott Bertsch, partner and regional leader, ISG Asia Pacific. “They are now gearing up to migrate complex applications like SAP to the public cloud.”

Some Australian organizations are also beginning to realign legacy applications to leverage data for insights using machine learning and AI, the report says. However, growing demand across the country has left enterprises with a shortage of cloud-certified experts skilled in certain technologies, including cybersecurity, IoT and AI.

Remote and hybrid work modes, originally imposed for the COVID-19 pandemic but likely here to stay for many Australian workers, create a growing need for Microsoft 365 tools to enable virtual collaboration, ISG says. By combining these tools with enterprise-wide applications and services, enterprises are building modern workplaces that equalize employee experiences between office and home.

“COVID-19 has been a trigger for cloud migration in Australia,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “It pressured companies to reduce costs and become more agile, both of which are good reasons to move workloads to the cloud.”

Australia has a complex and growing market for Microsoft partner services, the report says. Local provider options are expanding as Australian players challenge bigger global rivals. In some cases, providers will need to adjust their offerings and invest in new technologies, such as AI, to meet changing demands, ISG says.

The report also details trends around Microsoft Dynamics 365 and Power Platforms, including insights into how the need for omnichannel customer experiences has led companies to make better use of data.

The 2022 ISG Provider Lens™ Microsoft Ecosystem Partners report for Australia evaluates the capabilities of 43 providers across five quadrants: Managed Services for Azure, Microsoft 365 Services, SAP on Azure Services, Dynamics 365 Services and Power Platform Services.

The report names Accenture/Avanade, DXC Technology, TCS and Wipro as Leaders in all five quadrants. It names IBM as a Leader in four quadrants and HCL and Telstra as Leaders in three quadrants each. Barhead Solutions, Empired, Fujitsu, Hexaware, Logicalis, Unisys and Velrada are named as Leaders in two quadrants each. AC3, Infosys and Tech Mahindra are named as Leaders in one quadrant each.

In addition, HCL and Infosys are named as Rising Stars — companies with a “promising portfolio” and “high future potential” by ISG’s definition — in two quadrants each. Telstra is named as a Rising Star in one quadrant.

A customized version of the report is available from AC3.

The 2022 ISG Provider Lens™ Microsoft Ecosystem Partners report for Australia is available to subscribers or for one-time purchase on this webpage.

About ISG Provider Lens™ Research

The ISG Provider Lens™ Quadrant research series is the only service provider evaluation of its kind to combine empirical, data-driven research and market analysis with the real-world experience and observations of ISG's global advisory team. Enterprises will find a wealth of detailed data and market analysis to help guide their selection of appropriate sourcing partners, while ISG advisors use the reports to validate their own market knowledge and make recommendations to ISG's enterprise clients. The research currently covers providers offering their services globally, across Europe, as well as in the U.S., Canada, Brazil, the U.K., France, Benelux, Germany, Switzerland, the Nordics, Australia and Singapore/Malaysia, with additional markets to be added in the future. For more information about ISG Provider Lens research, please visit this webpage.

A companion research series, the ISG Provider Lens Archetype reports, offer a first-of-its-kind evaluation of providers from the perspective of specific buyer types.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 800 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in Stamford, Conn., ISG employs more than 1,300 digital-ready professionals operating in more than 20 countries—a global team known for its innovative thinking, market influence, deep industry and technology expertise, and world-class research and analytical capabilities based on the industry’s most comprehensive marketplace data. For more information, visit www.isg-one.com.

Press:



Will Thoretz, ISG

+1 203 517 3119

will.thoretz@isg-one.com



Erik Arvidson, Matter Communications for ISG

+1 617 874 5214

isg@matternow.com

Source: Information Services Group, Inc.

FAQ

What does the ISG report say about cloud migration in Australia for 2022?

The ISG report indicates that cloud migration in Australia is accelerating, with enterprises focusing on complex applications and modernization efforts.

Who are the leading providers in the ISG 2022 Provider Lens report for Australia?

Accenture/Avanade, DXC Technology, TCS, and Wipro are named as Leaders in all five quadrants of the ISG 2022 Provider Lens report.

How has COVID-19 impacted cloud migration in Australia according to the report?

COVID-19 has accelerated cloud migration in Australia as companies seek to reduce costs and improve agility.

What are the challenges faced by Australian enterprises in cloud migration?

A key challenge is the shortage of cloud-certified experts, particularly in AI, cybersecurity, and IoT technologies.

What technologies are Australian companies focusing on for cloud migration?

Companies are migrating complex applications like SAP to the public cloud and leveraging Microsoft Azure platforms.

Information Services Group, Inc.

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