U.S. companies look to mainframe modernization to improve agility and reduce costs

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ISG Provider Lens ™ Report Sees Mainframe Modernization and Mainframe-as-a-Service Trend Gaining Ground

STAMFORD, Connecticut – (BUSINESS WIRE) – US businesses that still operate on mainframes are looking for service providers to help them modernize their use of the legacy IT platform to improve operational agility and reduce downtime. costs, according to a new report released today by Information Services Group (ISG) (Nasdaq: III), a global leader in technology research and consulting.

ISG 2021 ™ supplier’s objective Mainframe Services & Solutions report for the United States reveals that many companies across the country are exploring a variety of options, from introducing agility into legacy mainframe applications, to moving all applications from their mainframe to other platforms. – IT forms or the adoption of a mainframe-as-a-service (MFaaS). pay-as-you-go model.

“The mainframe modernization market has accelerated over the past two years, driven by the need for organizations to increase their agility and reduce operating costs,” said Jan Erik Aase, Partner and Global Leader ISG Provider Lens Research. “Companies that don’t plan to modernize should consider outsourcing their mainframe operations.”

Service providers offer several tools that allow businesses to modernize their mainframes, the report says. MFaaS and mainframe modernization service providers can achieve cost savings of 10-25% by moving services. Vendors check configurations, software licenses, and dead code that can waste mainframe resources.

The report notes that 92 of the 100 largest banks in the world, 23 of the 25 largest US retailers and nine of the 10 largest insurance companies in the world operate mainframes of IBM Z systems.

Nonetheless, many U.S. companies view hardware decisions as increasingly irrelevant, and focus more on commercial applications, the report says. They are abandoning legacy programming languages ​​such as COBOL, Assembler, and Natural in favor of Java, .NET, and C #. In some cases, service providers help businesses convert COBOL to Java.

Some companies have resisted mainframe modernization based on the outdated myth that the large amount of data stored on mainframes cannot be moved to the cloud, the report says. Cloud data lakes have become popular alternatives for storage, flat files, and virtual tape backup.

Another myth, according to the report, is that the cloud cannot scale as well as mainframes. Cloud services can simply add more servers and deliver the same or even better performance.

The report considers that the most common method used to modernize the mainframe is to encapsulate batch and business functions in microservices that can run directly in the cloud. In some cases, mainframes are decommissioned as modernization vendors move applications to the cloud or redesign them.

In addition, the process of reengineering applications outside of the mainframe is gaining ground, the report says. The tools are fast, reliable and produce quality code. Recent advancements in methods and technology include artificial intelligence, programming frameworks, code quality inspection, and automated testing.

ISG 2021 ™ supplier’s objective The Mainframe Services & Solutions for the United States report assesses the capabilities of 46 vendors in five quadrants: Mainframe Modernization Services, Mainframe Transformation Services, MFaaS – Mainframe as a Service, Mainframe Operations, and Mainframe Modernization Software.

The report names Atos as a leader in four quadrants and Capgemini, Ensono, IBM and Infosys as leaders in three. HCL and TCS are named Leaders in two quadrants, and Accenture, Advanced, Blu Age, Cognizant, DXC Technology, Fujitsu, Google, Mindtree, Mphasis, Tech Mahindra, TmaxSoft, TSRI, and UST are all named Leaders in one.

Additionally, HCL, Heirloom Computing, Unisys, and UST have been named Rising Stars – companies with “promising portfolios” and “high future potential” as defined by ISG – in one quadrant each.

Customized versions of the report are available from Ensono, Google, Heirloom Computing, Infosys, Mindtree, Mphasis, and TmaxSoft.

ISG 2021 ™ supplier’s objective The Mainframe Services and Solutions for the United States report is available for subscribers or for a one-time purchase on this web page.

About ISG Provider Lens ™ research

The ISG Provider Lens ™ Quadrant research series is the only service provider assessment of its kind to combine empirical and data-driven research and market analysis with the team’s real-world experience and observations. ISG Global Advisory Council. Companies will find a wealth of detailed data and market analysis to guide their selection of suitable sourcing partners, while ISG advisors use the reports to validate their own market knowledge and make recommendations to ISG client companies. . The research currently covers providers offering their services worldwide, across Europe, as well as the United States, Germany, Switzerland, United Kingdom, France, Nordic countries, Brazil and in Australia / New Zealand, with additional markets to be added in the future. For more information on ISG Supplier Goals Research, please visit this webpage.

A complementary research series, the ISG Provider Lens Archetype reports, offers a unique assessment of suppliers from the perspective of specific types of buyers.

About ISG

ISG (Information Services Group) (Nasdaq: III) is a world leader in technology research and consulting. A trusted partner of more than 700 customers, including more than 75 of the world’s 100 largest companies, ISG is committed to helping businesses, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services including automation, cloud and data analytics; procurement advice; management of governance and risk management services; network operator services; design of strategy and operations; change management; market intelligence and technology research and analysis. Founded in 2006 and headquartered in Stamford, Connecticut, ISG employs more than 1,300 digitally ready professionals operating in more than 20 countries – a global team recognized for its innovative thinking, market influence, deep industrial and technological expertise and its world-class research and analysis capabilities based on the industry’s most comprehensive market data. For more information, visit www.isg-one.com.

Press contacts:

Will Thoretz, ISG

+1 203 517 3119

[email protected]

Cait Buckley, Matter Communications for ISG

+1 617 874 5214

[email protected]

Source: Information Services Group, Inc.



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