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The Future Looks Green for Dutch Data Centers

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Rhea-AI Summary
The Netherlands is an attractive location for data centers and managed cloud services due to inexpensive 'green' electricity and innovation. However, the ongoing Russia-Ukraine conflict has impacted the Dutch data center outsourcing market. Businesses have sought to reduce operational expenditures by using offshore and nearshore locations. Managed service providers in the Netherlands are automating their operations to improve service quality and reduce costs. Automation is expected to accelerate, given its ability to reduce energy consumption. A robust transportation infrastructure contributes to a resilient supply chain that links the Dutch economy with global markets. Accenture, Atos, Capgemini, CyrusOne, data place, Digital Realty, DXC Technology, Equinix, Kyndryl, maincubes, NorthC, NTT GDC, Orange Business, and TCS are named as Leaders in the report.
Positive
  • The Netherlands offers inexpensive 'green' electricity and innovation, making it an attractive location for data centers and managed cloud services.
  • Automation is expected to accelerate in the Netherlands, helping to reduce energy consumption and operating expenditures.
  • A robust transportation infrastructure contributes to a resilient supply chain that links the Dutch economy with global markets.
Negative
  • The ongoing Russia-Ukraine conflict has impacted the Dutch data center outsourcing market, particularly colocation services.
  • Businesses in the Netherlands have seen a jump in electricity prices, leading to increased operational expenditures.
  • The report does not provide specific percentages or dollar amounts related to the positive or negative impacts on stock prices.

Fewer regulations, competitive wages and advanced infrastructure make the Netherlands a key hub for accessing global markets, ISG Provider Lens™ report says

AMSTERDAM--(BUSINESS WIRE)-- Service providers in the Netherlands are well positioned both geographically and technologically to take advantage of growing trends toward automated cloud operations and environmental sustainability, according to a new research report published today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

The 2023 ISG Provider Lens™ Private/Hybrid Cloud – Data Center Services report for the Netherlands finds that access to inexpensive "green" electricity makes the country an attractive location for data centers and managed cloud services. But the advantages of the Netherlands aren’t limited to its abundance of green energy. When it comes to innovation, the Netherlands is consistently ranked among the top five in the European Union, the ISG report says.

“Dutch excellence in innovation compels providers here to constantly improve their managed service capabilities for local customers,” said Ola Chowning, ISG partner, North Europe. “Success in the Netherlands makes it easier for those same providers to address the needs of customers in other EU countries.”

The ongoing Russia-Ukraine conflict has had a significant impact on the Dutch data center outsourcing market, particularly on colocation services, the ISG report says. According to the report, during the first half of 2022, businesses in the Netherlands saw a jump in electricity prices and have sought to arrest the corresponding rise in operational expenditures by using some of their offshore and nearshore locations to address the requirements of local customers.

To both improve service quality and reduce costs, managed service providers in the Netherlands continue to automate their operations, the ISG report says. For service providers, automation is the great equalizer. It helps to level the playing field between small, regional providers of niche services and large, well-established service providers, ISG says.

Given automation’s ability to reduce energy consumption and with it the higher operating expenditures brought about by the current energy crisis, the trend toward automating operations across the cloud environment should accelerate, ISG says.

“Automation and AI are here to stay,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “The fact that most Dutch enterprises have moved to multi-vendor and multicloud ecosystems underscores this.”

The report also examines how a robust transportation infrastructure contributes to a resilient supply chain that enables the Dutch economy to link up with diverse global markets.

The 2023 ISG Provider Lens™ Private/Hybrid Cloud – Data Center Services report for the Netherlands evaluates the capabilities of 47 providers across two quadrants: Managed Services and Colocation Services.

The report names Accenture, Atos, Capgemini, CyrusOne, data place, Digital Realty (Interxion), DXC Technology, Equinix, Kyndryl, maincubes, NorthC, NTT GDC, Orange Business and TCS as Leaders in one quadrant each.

In addition, LTIMindtree and Smartdc are named as Rising Stars — companies with a “promising portfolio” and “high future potential” by ISG’s definition — in one quadrant each.

A customized version of the report is available from DXC Technology.

The 2023 ISG Provider Lens™ Private/Hybrid Cloud – Data Center Services report for the Netherlands 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 900 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 1,600 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 Contacts:

Will Thoretz, ISG

+1 203 517 3119

will.thoretz@isg-one.com

Kate Hartley, Carrot Communications for ISG

+44 (0)20 3457 6403

kate.hartley@carrotcomms.co.uk

Source: Information Services Group, Inc.

Information Services Group, Inc.

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