® Everest Group PEAK Matrix™ for Network Transformation and Managed Service Providers 2020 Focus on Wipro December 2019 ® ™ Copyright © 2019 Everest Global, Inc. This document has been licensed for exclusive use and distribution by Wipro EGR-2019-29-E-3493 Introduction and scope Everest Group recently released its report titled “Network Transformation and Managed Services PEAK Matrix™ Assessment 2020: Transform your Network or Lie on the Legacy Deathbed.” This report analyzes the changing dynamics of the network services landscape and assesses service providers across several key dimensions. As a part of this report, Everest Group updated its classification of 13 service providers on the Everest Group PEAK Matrix™ for network services into Leaders, Major Contenders, and Aspirants. The PEAK Matrix is a framework that provides an objective, data-driven, and comparative assessment of network service providers based on their absolute market success and delivery capability. Based on the analysis, Wipro emerged as a Leader. This document focuses on Wipro’s network services experience and capabilities and includes: ⚫ Wipro’s position on the network transformation and managed services PEAK Matrix ⚫ Detailed network services profile of Wipro Buyers can use the PEAK Matrix to identify and evaluate different service providers. It helps them understand the service providers’ relative strengths and gaps. However, it is also important to note that while the PEAK Matrix is a useful starting point, the results from the assessment may not be directly prescriptive for each buyer. Buyers will have to consider their unique situation and requirements, and match them against service provider capability for an ideal fit. Source: Everest Group (2019) ® Copyright © 2019, Everest Global, Inc. 2 EGR-2019-29-E-3493 Background of the research Networks have traditionally been the most neglected component within the IT infrastructure. Digital transformation within enterprises has so far focused on the compute aspect with cloud being the main driver. However, enterprises now realize that without network transformation, optimum benefits of digital transformation cannot be realized. This has changed enterprise expectations from networks. Enterprises have now begun leveraging network services to achieve the desired business-oriented outcomes. They are engaging service providers for network transformation across datacenter, Wide Area Network (WAN), and branch. WAN transformation is becoming the starting point of network transformation for most enterprises due to its immediate cost benefits and low business disruption. Enterprises need to ensure that they develop the right business case for network transformation to derive the maximum benefits. Service providers need to think beyond networks and should align the networks as a digital transformation enabler. In this research, we present an assessment and detailed profiles of 13 network service providers featured on the network services PEAK Matrix™. Each service provider profile provides a comprehensive picture of its service focus, key Intellectual Property (IP) / solutions, domain investments, and case studies. The assessment is based on Everest Group’s annual Request For Information (RFI) process for calendar year 2019, interactions with leading network service providers, client reference checks, and an ongoing analysis of the network services market. Scope of this report ⚫ Services: Network services ⚫ Geography: Global ⚫ Service providers: 13 leading network services providers This report includes the profiles of the following 13 leading network services providers featured on the Network Transformation and Managed Services PEAK Matrix: ⚫ Leaders: Accenture, HCL Technologies, TCS, and Wipro ⚫ Major Contenders: Computacenter, CSS Corp, IBM, Microland, Mphasis, and Tech Mahindra ⚫ Aspirants: GAVS Technologies, UST Global, and Zensar ® Copyright © 2019, Everest Global, Inc. 3 EGR-2019-29-E-3493 Network services PEAK Matrix™ characteristics Leaders: Accenture, HCL Technologies, TCS, and Wipro ⚫ Leaders in the network services have established successful businesses in delivering global network services, driven by capability building and experience across the end-to-end network services spectrum (consult, build/design, and manage) across industry verticals ⚫ These players continue to proactively drive investments in next-generation technology themes and services capability development (internal IP/tools, partnerships, acquisitions, etc.) ⚫ Leaders have a strong focus on driving alignment between the business and IT teams of enterprises to drive higher value through contextual solutions tailored to specific enterprise requirements ⚫ All Leaders have a strong focus on driving large-scale / complex network transformation, specifically for the large enterprise segment (with annual revenue greater than US$5 billion) Major Contenders: Computacenter, CSS Corp, IBM, Microland, Mphasis, and Tech Mahindra ⚫ Major Contenders in the network services space include a mix of large- and mid-sized service integrators ⚫ These players have built meaningful capabilities to deliver network services (both management/run and transformation services); however, their service portfolios are not as balanced and comprehensive as those of Leaders (either in terms of coverage across industry verticals or geographies or both) – this is also reflected in the scale of market success achieved by these players (vis-a-vis Leaders) ⚫ However, all these players are making continued investments in developing internal IP and tools, as well as expanding their service and technology partnership networks in order to plug their “capability gaps”, and are thereby, positioning themselves as strong challengers for the Leaders in this space Aspirants: GAVS Technologies, UST Global, and Zensar ⚫ The network services business of Aspirants is in the initial stages of growth and is currently not a leading revenue generator for these players ⚫ Nevertheless, these companies are making investments to build broader capabilities to cater to buyers (through service and technology partnerships as well as internal IP/tools) ® Copyright © 2019, Everest Global, Inc. 4 EGR-2019-29-E-3493 Everest Group PEAK Matrix™ ® Network Transformation and Managed Services PEAK Matrix™ ™ Assessment 2020 | Wipro positioned as Leader Everest Group Network Transformation and Managed Services PEAK Matrix™ Assessment 20201 High Leaders Major Contenders Leaders Major Contenders Aspirants HCL Technologies Accenture TCS Wipro IBM Tech Mahindra CSS Corp Computacenter MarketImpact the impact created in the market) the in impactcreated the Microland UST Global Mphasis Zensar GAVS Technologies (Measures Low Aspirants Low High Vision & capability (Measures the ability to deliver services successfully) 1 Assessments for Computacenter, IBM, and Tech Mahindra; excludes service provider inputs and are based on Everest Group’s proprietary Transaction Intelligence (TI) database, service provider public disclosures, and Everest Group’s interactions with buyers Source: Everest Group (2019) ® Copyright © 2019, Everest Global, Inc. 5 EGR-2019-29-E-3493 Wipro | Network services profile (page 1 of 2) Network services overview Strengths Areas of improvement ⚫ Has made credible investments in developing a strong suite of internal IPs ⚫ Clients perceive Wipro to be Cisco-heavy in terms of its offerings; Wipro should including its cognitive platform, HOLMES, for network transformation focus on establishing a vendor-agnostic positioning by expanding its ⚫ Its strong relationship with Cisco is helping Wipro win large network deals partnerships with other equipment providers ⚫ Clients appreciate Wipro’s accountability, flexibility, and close liaison with the ⚫ Despite Wipro’s investments towards reskilling and upskilling talent, clients have ongoing service stakeholders cited that there is scope for improvement with their on-ground talent, especially around SDN skills Scope of coverage Wipro has a dedicated network practice – “Connected Future” – to deliver network consulting, transformation, and managed services under the Cloud and Infrastructure Services (CIS) service line. It has more than 3,500 network professionals spread across multiple delivery centers in India. Network services revenue Adoption by service segment High (>40%) Medium (10-40%) Low (<10%) US$200- US$500 million- <US$200 million >US$1 billion Consulting services US$500 million US$1 billion Design and build services Managed services Adoption by industry High (>20%) Medium (10-20%) Low (<10%) BFSI Energy and utilities Percentage of projects High (>25%) Medium (10-25%) Low (<10%) Technology Healthcare and life sciences by geography North America Middle East & Africa Manufacturing Retail, distribution, and CPG Europe (excluding UK) United Kingdom Public Telecom, media, and entertainment South America Asia Pacific ` Adoption by buyer groups High (>20%) Medium (10-20%) Low (<10%) Small (annual revenue < US$1 billion) Medium (annual revenue = US$1-5 billion) Large (annual revenue > US$5 billion) ® Copyright © 2019, Everest Global, Inc. 6 EGR-2019-29-E-3493 Wipro | Network services profile (page 2 of 2) Offerings Vision Wipro’s vision is to help customers accelerate their digital journey by providing network services led by consulting and driven by transformation. Wipro wants its managed services to be “manual by exception”, which means that there will be minimal human touch points in network operations. Proprietary solutions (representative list) Solution