Retail (44%) and transportation (43%) are ahead of other sectors when it comes to digital transformation, according to a new report from Frost & Sullivan.
Top End User Priorities in Digital Transformation, Global, 2019 found that Internet of Things (IoT) technology is currently used by almost two-thirds (65%) of companies. Just over four in ten (42%) organisations are developing IoT through a third-party service provider, while government is the predominant developer of IoT in-house.
The industries leading the way on implementing artificial intelligence are IT, communications, finance, banking and insurance.
Frost & Sullivan surveyed 1,636 IT decision-makers in 14 countries for the report, which looks at current use and future decision-making relating to IT and communications, the status of digital transformation (including implementation plans for emerging technologies such as AI, IoT and blockchain) and the drivers behind investments and challenges across verticals and regions.
The three biggest drivers for IT/telecom investment over the next two years are enhancing customer experience, digital presence and sales & marketing effectiveness.
More than two-thirds of companies expect sales & marketing to be the department most impacted by digital transformation.
Asked about security issues, respondents cited malware as the greatest security threat, followed by security misconfiguration and hacking.
“Keeping pace with new and continuously evolving security threats is a key reason for ongoing digital transformations. Security is the number one critical decision-making factor,” commented Marta Bierca, customer research director at Frost & Sullivan. “It is also one of the top reasons companies plan to replace technologies they currently use. Ensuring a high level of network security must be a big part of decision-making when developing products over the next two years.”
Download your free copy of our Next-generation connectivity report to read more about how emerging technologies and next-generation internet connectivity are transforming businesses in five key sectors.