The IT Nerd

Leading tech research organization Omdia, part of Informa Tech, has launched the Channel Partner Strategies Intelligence Service, a channel-focused market research product. The service has been designed to help channel-focused vendors and technology suppliers accelerate growth and gain a deeper understanding of the key trends shaping the tech landscape. It offers a particular focus on the shift in technology consumption due to the evolution of managed services and insights into new and innovative solution providers.

First announced in May at the 2023 Channel Partners Conference & Expo, the Channel Partner Strategies Intelligence Service comes from the Omdia Channel Research and consulting team. The team is led by Devan Adams, Principal Analyst, and Debbie Kane, Principal Consultant.

Reports available from the new service will provide technology vendors and suppliers with expert channel research, analysis and actionable insights into the key market trends, technology innovations and strategies shaping the evolving channel ecosystem.

The first two major reports, available now, are the “Managed Service Provider (MSP) 501 Survey Insights – 2023” and the “Fastest-Growing Managed Service Providers (MSPs) Survey Insights – 2023.”

“Managed Service Provider (MSP) 501 Survey Insights – 2023”analyzes the results from the industry’s most comprehensive global survey and ranking of MSPs, the Informa Tech Channel Futures MSP 501. The report provides key insights from the global survey, including insight into revenue-producing services, markets served, technology adoption, managed service offerings, customer segments and M&A. For the first time, the report offers a view into the profitability of the managed services market.  

Key insights include:

• Channel resiliency on display​: Even with economic headwinds such as employee attrition and inflation, average total revenue growth grew significantly, as MSPs reap the benefits of business customers increasing their co-managed and full outsourcing efforts to lower OPEX.  
• Managed services profitability: The report sheds light on the health of the managed services marketplace through an analysis of the profitability data disclosed by this year’s applicants.

“Fastest-Growing Managed Service Providers (MSPs) Survey Insights – 2023”examines data obtained from theNextGen 101, fast-growing businesses on the verge of making the Channel Futures MSP 501 ranking. The report provides market insights from the unique perspective of fast-growing partner businesses that are owned mainly by a younger generation of individuals and which exemplify the future of the channel.

Key insights include:

• Managed security is now fundamental: Managed security was ranked as the top (or near the top) revenue-producing service and growth prospect, as increased threats from hackers, data breaches, and ransomware attacks have made managed security services must-have offerings.

More content as part of the Channel Partner Strategies Intelligence Service will be released later this year. The first “Quarterly Market Outlook Survey Insights” report is scheduled for release by the end of September.

Four additional new analyst reports are expected to publish by the end of this year:

• Event Recap: Channel Futures Leadership + MSP Summit 2023
• Quarterly Market Outlook Survey Insights – 3Q23
• Trends to Watch Report – 2023
• Routes to Market Report – 2023 

For more information about the new Omdia Channel Partner Strategies Intelligence Service, head to the product page on the Omdia website.

By Omdia

In our most recent Cybersecurity Decision Maker survey, we asked more than 600 organizations about the security issues that they have faced in the last 12 months. Over two-thirds of survey respondents declared they had experienced issues ranging from numerous ‘limited security issues’ to multiple ‘severe security issues.’ Cybersecurity is not a “one and done,” and over the past decade, digital innovation has moved at lightning speed, so this result comes as no surprise as organizations struggle to deliver continuous security protection.

The most challenging issue facing the security function is the staffing and skills shortage in cybersecurity, identified by 54% of survey respondents as an area of concern.

If organizations do not have sufficient people with the right skills in place, then it is difficult to follow cybersecurity best practices, and challenges will arise that will impact those trying to protect the business from security incidents and breaches. There is an increasing acceptance amongst organizations that they will suffer a security incident, or even a breach, at some point. However, these same organizations also know that they must be better prepared for the inevitable, both in prevention, and in detection and response. 

The combination of budget pressures, lack of resources, and mass public attention on cybersecurity all make for an uncomfortable time for many organizations.

With these challenges showing no signs of dissipating, the next vital step is to ensure the entire organization is vigilant about security. Cybersecurity is everyone’s responsibility and doesn’t just belong to the security function. Every employee and business function has a role to play in keeping the organization secure.

How can IT decision-makers and business leaders ensure their teams are aware of cybersecurity best practices? Regular training and proper preparation and planning can help minimize the impact of cyberattacks. Expecting that an attack will happen, knowing that your organization has done as much as possible to prevent that attack, and then being prepared for it as and when it occurs, will contribute to the organization avoiding the headlines. It’s not possible to eliminate cyberattacks, but it is possible to be prepared and continuously act in the best interests the organization and their customer.

Omdia’s annual Cybersecurity Decision Maker survey was conducted during 2Q23. The results will be revealed at the Omdia Analyst Summit at Black Hat USA on August 8, during analyst sessions, with delegates receiving the opportunity to review this exclusive data. 

For more information on Black Hat 2023 and Omdia Cybersecurity research, click here.

Only 14% of 5G networks have reached 10% subscriber penetration according to the latest Omdia research. While 147 operators had launched 5G by the end of June 2021, the data shows that only 14% (21 operators) have reached 10% subscriber penetration on their network.

Omdia analysts have found that 10% in-network penetration is a key milestone for 5G as this is the point at which 5G appears to begin to have a positive impact on mobile revenues. 

Data from leading 5G market South Korea shows a clear revenue uplift post-5G launch once market penetration passed 10% a year ago. In China, 5G subscriptions nearly doubled in the first half of 2021 to reach 318 million in June, which is equivalent to 11% of total mobile connections. Meanwhile, mobile services revenues grew 4.7% and 3.7% year on year in Q1 and Q2 – a level that hasn’t been seen since early 2018.

“We can only speculate about the impact of 5G on service providers until the technology reaches a certain critical mass beyond early adopters. Only South Korea has reached this point and the story there is a positive one,” said Ronan De Renesse, senior research director, Omdia. “Another 24 markets are due to reach 10% 5G population penetration by the end of 2021, 37 in 2022 and over 100 in 2026.”

Chinese, Korean, Japanese and US operators commanded over 93% of the global 5G market in Q2 2021. Among the more than 400 million subscriptions globally, 82% are in Asia, of which 87% are in China. Markets outside Asia with more than 5% population penetration include the US, Finland and Ireland.

According to Omdia’s market predictions, markets on average are expected to see a 5% data ARPU (average revenue per user) uplift from two years onwards post 5G launch. However, there is no direct correlation as markets are affected by other factors such as macroeconomic dynamics, COVID recovery, local market competition and regulation.

Adversely, Omdia expects mature markets to see less growth in percentage terms than others because growth coming from digital services inclusion in developing and emerging markets will dwarf the effects of 5G. For example, while 5G may command a 10% increase in ARPU, a first-time smartphone user in Africa may double their mobile bill.  

“5G is still in its infancy and we have yet to see its full potential from a technology and commercial perspective,” continued De Renesse. “Similar to 4G when it launched, 5G adoption is mostly supply-led which means that demand for 5G needs to be created by the industry. Operators in China and South Korea have shown that if you put 5G in the hands of consumers then revenues are likely to follow.”

ABOUT OMDIA:

Omdia is a leading research and advisory group focused on the technology industry. With clients operating in over 120 countries, Omdia provides market-critical data, analysis, advice and custom consulting.

Omdia was formed in 2020 following the merger of IHS Markit, Tractica, Ovum and Heavy Reading. Sitting at the heart of the Informa Tech portfolio, Omdia reaches over four million technology decision makers, influencers and practitioners that form part of the wider Informa Tech community and has specialist research practices focusing on Enterprise IT, AI, Internet of Things, Communications Service Providers, Cybersecurity, Components & Devices, Media & Entertainment and Government & Manufacturing.

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