Only 12 percent of North American technology ecosystem business leaders say they will offer augmented and virtual reality (AR/VR) solutions by 2024, despite aggregate analyst and financial research forecasting an $800 billion global metaverse market, in the next 24 months. That’s according to the inaugural TD Synnex Ecosystem Benchmark Report which underscores that every business is connected in the global technology ecosystem, as well as the rapid rate of change that has evolved to a state of ongoing transformation.
The report, which provides a 24-36-month outlook, is based on a global industry survey of 300 mid-size technology ecosystem partners, defined as technology companies with 1,000 seats and below. The research examines the expansion of professional and managed IT services, high-growth technology investments, the adoption of the as-a-service consumption model, the AR/VR opportunity gap, and growth drivers.
Seventy-seven percent of North American partners say expanding technology solution offerings is important or very important, with a focus on solutions being directly linked to cloud capabilities, applying consumption-based models, and ensuring solutions are secured. Within 24 months, partners indicate offering various technology solutions including Device as a Service (31 percent), IOT (23 percent), Security (22 percent), Cloud Integration (20 percent), and Cloud Deployment (20 percent).
Partners are making room for professional and managed IT services in their future business mix, anticipating the most increase over 36 months. The survey finds that every category of services is projected to grow.
Partners see the largest decrease in reselling hardware in the next three years, however, most North American partners (78 percent) forecast hardware resale will be fundamental to their business mix.
Networking (18 percent), Endpoint (16 percent), and Services and Storage (10 percent) represent three of the top five revenue drivers for partners. Networking came in as the single most profitable technology for North American partners.
Respondents indicate hardware categories represent the opportunity to attach services, and hardware-based programs, like device-as-a service, creating a virtuous cycle of revenue, which partners are prioritizing as part of their portfolio offerings within the next two years.
While 42% of partners say ESG (environmental, social and governance) activities aren’t applicable to their business, IT business leaders know they need to grow capabilities around sustainability and ESG, with 17 percent expressing the importance of ESG expertise or certification in three years.
North American IT partners signal that collaboration is a high-priority growth strategy, with 59 percent of respondents ranking engaging ecosystem partners as important or very important to future growth. This statistic is tight alignment with the partners who indicate they will enter new vertical markets to grow (60 percent). Respondents also see an increasing need for expertise in government, healthcare, education, and financial services over the next three years.
The report offers insights every type of IT channel partner can use to make smart investments in their businesses, expand strategically and accelerate the adoption of emerging technologies.