Here are five observations:
1. In the IT services industry, large technology firms are focusing specific divisions on core technology. That is, many large companies are consolidating their IT services.
2. With this trend, smaller companies possess the opportunity to climb to the top of the industry.
3. Vendor consolidation will soon occur, eliminating the smaller vendors.
4. It is important that IT companies know what the industry wants and focus on digital transformation initiatives.
5. To maintain a presence in the market, IT services firms must team up with “emerging IT priorities and stakeholder groups,” not shying away from M&A activity.
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