Digital infrastructure under threat, says Telehouse report

Telehouse sees 54% of organisations opting for colocation services over on-premises IT infrastructure
Telehouse’s latest report reveals that 95% of IT decision-makers view digital infrastructure as a huge risk to business, in the midst of large data surges

Research conducted by Telehouse has found that 95% of IT decision-makers believe that digital infrastructure can be a business risk.

Data surges, tighter regulations, skills shortages and increased cyber threats are cited as key risk reasons, highlighting a challenging decade for digital infrastructure.

The findings are part of a report: ‘Vision 2030: Overcoming your digital infrastructure connectivity challenges and requirements, by Telehouse, one of the leading global data centre service providers. 250 IT decision-makers were surveyed in order to gauge their opinions on digital infrastructure challenges and opportunities that they are likely to face during the next decade.

Businesses to update IT infrastructure as data vulnerabilities loom

Telehouse has already anticipated that the vast majority of businesses will make changes to their IT infrastructure. In the face of rapidly increasing data volumes, relentless cyber threats, a critical shortage of skills and the intricate demands of regulatory compliance, the company highlights that 95% of businesses surveyed perceive their digital infrastructure as currently a risk to their operations.

Cyber security has also emerged as a prominent source of anxiety, with 33% expressing that cyberattacks are their top concern regarding downtime. This anxiety is intensified by the evolving global landscape of regulations and compliance standards.

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Considering 2030, 89% of respondents to the report anticipate the need for high-density, high-performance computer systems to harness large volumes of data generated by IoT, widespread AI adoption, machine learning and advanced data analytics, as well as the expansion of cloud-based remote work.

Additionally, 75% of organisations expect their data management responsibilities to increase significantly as a result of widespread digital transformation. In line with this apprehension, 42% of respondents cited software as the most vulnerable aspect of their digital infrastructure over the next decade. 

This finding underscores the urgency for organisations to bolster their software defences, which is becoming increasingly important in 2023 with rising cyberattacks worldwide.

Colocation rises: Will AI and edge computing help or hinder?

Telehouse’s report ultimately reveals a lack of readiness, or an industry readiness gap, with more than half (55%) of respondents acknowledging that they are only partially ready to handle the challenges of emerging technologies like IoT and edge computing, for example.

11% of organisations also admitted to having limited capabilities, a shortcoming that could significantly hamper their growth and competitiveness if not promptly addressed.

The research also highlighted a shifting landscape of challenges for IT decision-makers. Since Telehouse’s initial research in 2020, the percentage of senior IT professionals foreseeing the integration of AI and analytics as their most significant infrastructure challenge has grown from 23% to 33%. 

As the complexities of security and compliance intensify, Telehouse sees 54% of organisations opting for colocation services over on-premises IT infrastructure. It represents a notable increase from the 33% originally reported in Telehouse's 2020 research.

Despite such challenges, 61% of respondents are planning to increase their investment in data centre infrastructure over the next decade, while 33% expect investment levels to remain steady. One-fifth of organisations are also exploring commercial relationships with colocation providers to bolster their connectivity capabilities in the face of the impending data deluge.

Mark Pestridge, Executive VP & General Manager of Telehouse Europe says, “Our research underscores the formidable digital infrastructure challenges that organisations are grappling with as they navigate emerging technologies amidst a persistent shortage of specialised IT skills and mounting concerns about cyber risks, downtime, and regulatory compliance. 

“The exponential growth of data and the growing demand for digital connectivity make it imperative for businesses to adopt robust models and establish the right partnerships to harness connectivity opportunities.”

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