Fewer regulations, competitive wages and advanced infrastructure make the Netherlands a key hub for accessing global markets, ISG Provider Lens report says
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 by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.
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“The fact that most Dutch enterprises have moved to multi-vendor and multicloud ecosystems underscores this.”
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.
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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.
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