Middleware Consulting International

ARMONK, N.Y., Sept. 28, 2022 — New global market research from IBM revealed that more than 77% of respondents have adopted a hybrid cloud approach which can help drive digital transformation, yet the majority of responding organizations are struggling with the complexity to make all their cloud environments work together. As organizations face skills gaps, security challenges and compliance obstacles, less than one quarter of respondents across the globe manage their hybrid cloud environments holistically – which can create blind spots and put data at risk.

The IBM Transformation Index: State of Cloud commissioned by IBM and conducted by independent research firm, The Harris Poll, was created to help organizations map their cloud transformation and empower them to self-classify their progress. Built on a foundation that leverages insights from experienced cloud professionals, enterprises can use the Index to gain measurable metrics that can help quantify their progress and uncover areas of opportunity and growth. The Index consisted of more than 3,000 business and technology decision-makers from 12 countries and across 15 industries including financial services, manufacturing, government, telecommunications and healthcare, to understand where organizations are advancing, or merely emerging, on their transformation journeys.

The Index points to a strong correlation between hybrid cloud adoption and progress in digital transformation. In fact, 71% of those surveyed think it’s difficult to realize the full potential of a digital transformation without having a solid hybrid cloud strategy in place. At the same time, only 27% of those surveyed possess the necessary characteristics to be considered as “advanced” in their transformation. So, why the disconnect? A sampling of findings include:

Compliance: Businesses believe ensuring compliance in the cloud is currently too difficult – especially as we see enforcement of regulatory and compliance requirements heat up across the globe.
Security: While businesses have embraced a variety of security techniques to secure workloads in the cloud, concerns about security still remain.
Skills: As organizations face the realities of a talent shortage, they are failing to implement a holistic hybrid cloud strategy – which can create gaps in security and compliance and cause risk across cloud environments.

“As we see regulatory requirements grow across the globe, compliance is top of mind for business leaders. This concern is even greater for those in highly regulated industries. Yet at the same time, they are facing a growing threat landscape – one that demands holistic management of their multicloud environments to avoid the risks of a Frankencloud – an environment that’s so disconnected, it’s difficult to navigate and can be nearly impossible to secure, particularly against third and fourth party risks,” said Howard Boville, Head of IBM Cloud Platform. “An integration strategy to bring together these different piece parts is what we believe separates the leaders from the rest of the pack – the alternative is to pay the price of the Frankencloud.”

“The key value of cloud for businesses is rapid access to innovative technologies, data sources, and applications required to navigate current disruptions and transform businesses. No individual cloud can address all of an enterprise’s requirements, so they must be able to use and effectively control hybrid cloud assets across many locations. IBM with its focus on providing a holistic hybrid cloud strategy is well positioned to help organizations address the security, data management and compliance complexities that can prevent them from taking full advantage of cloud innovation,” says Rick Villars, Group Vice President of Worldwide Research at IDC.

The 2022 IBM Transformation Index: State of Cloud revealed:

Lack of the right skills is inhibiting progress
When it comes to managing their cloud applications, 69% of respondents say their team lacks the skills needed to be proficient. This is a major roadblock to innovation, with more than a quarter of respondents saying skills and talent shortages are impeding their business’s cloud objectives. The effects don’t stop here – these limitations are also preventing organizations from leveraging the power of partnerships. More than one-third of respondents say a lack of technical skills is holding them back from integrating ecosystem partners into cloud environments. This challenge is even greater in the US, where nearly 40% admit to this lack of skills – pointing to the need for talent.

Exposure to cyberthreats continues to lurk despite embracing security techniques
While more than 90% of responding financial services, telecommunications and government organizations have adopted security tools such as confidential computing capabilities, multifactor authentication and more, gaps remain that are preventing organizations from driving innovation. In fact, 32% of overall respondents cite security as the top barrier for integrated workloads across environments and more than one quarter of respondents agree security concerns present a roadblock to achieving their cloud business goals.

Security concerns can even hold organizations back from unlocking the full potential of partnerships. As potential security gaps can cause third and fourth party risks to loom, respondents say data governance (49%) and cybersecurity (47%) are the top challenges to fully integrating their business ecosystem into the cloud. In Brazil, cyberthreats are an even greater concern to ecosystem innovation — 51% say cybersecurity risks pose a major challenge for businesses that want to integrate business ecosystem partners into cloud environments.

Regulatory and compliance requirements remain center stage causing businesses to pause
With regulations on the rise, so too are compliance challenges. 53% of respondents believe that ensuring compliance in the cloud is currently too difficult and nearly one-third cite regulatory compliance issues as a key barrier for integrating workloads across private and public IT environments. In financial services, for example, more than a quarter of respondents agree that meeting industry requirements is holding them back from fully achieving their cloud objectives. These challenges span the globe and are especially prevalent in countries such as Singapore, China, India and Japan.

Based on the Index, IBM will launch an interactive tool to serve as a continual source of feedback for organizations to measure their transformation progress. With the ability to help companies assess how they fare against others, the tool will allow them to identify areas where transformation is stalled and where it may be excelling – unlocking the ability to diagnose and act with efficiency even against the real-world of complexity of cloud transformation.

IBM will make the IBM Transformation Index: State of Cloud tool publicly available in the coming months, aiming to provide business leaders with valuable benchmarking insights that can inform their hybrid cloud strategies. The IBM Institute for Business Value also published a new report, “A Comparative Look at Enterprise Cloud Strategy” with an action guide for how leaders can use the Index to help advance their organizations’ digital transformation.

Methodology:
This survey was conducted online in 12 countries (US, Canada, UK, Germany, France, India, Japan, China, Brazil, Spain, Singapore, Australia) by The Harris Poll on behalf of IBM from June 8th, 2022 to July 17th, 2022. The survey was conducted among 3,014 IT and business professionals in companies with annual revenue over $500M who have deep knowledge of their organization’s Cloud strategy. The IBM Transformation Index: State of Cloud was developed by combining the data from 25+ question batteries of various formats across 9 Cloud-related dimensions that were informed by input from industry experts.

ARMONK, N.Y., Sept. 22, 2022  — IBM today announced plans to acquire Dialexa, a leading U.S. digital product engineering services firm, to help companies drive innovation and achieve their digital growth agendas. The acquisition is expected to deepen IBM’s product engineering expertise and provide end-to-end digital transformation services for clients.

Dialexa will be the sixth acquisition IBM has made in 2022, further bolstering the company’s hybrid cloud and AI skills and capabilities. Since Arvind Krishna became CEO in April 2020, IBM has acquired more than 25 companies. Thirteen of those acquisitions, including Dialexa, have been in IBM Consulting. Today’s news builds upon IBM Consulting’s prior acquisitions, including Neudesic, Sentaca, Nordcloud and Taos.

The acquisition of Dialexa will be IBM Consulting’s first in the fast-growing digital product engineering services market, which is estimated to reach $700 billion by 20261. Upon close, Dialexa will join IBM Consulting, spearheading IBM’s digital product engineering services presence in the Americas.

“In this digital era, clients are looking for the right mix of high-quality products to build new revenue streams and improve topline growth,” said John Granger, Senior Vice President, IBM Consulting. “Dialexa’s product engineering expertise, combined with IBM’s hybrid cloud and business transformation offerings, will help our clients turn concepts into differentiated product portfolios that accelerate growth.”

Founded in 2010, Dialexa delivers a suite of digital product engineering services, helping organizations create transformative products to drive business outcomes. Its multi-disciplinary and highly skilled team of 300 product managers, designers, full-stack engineers and data scientists, based in Dallas and Chicago, advise and create custom, commercial-grade digital products for clients such as Deere & Company, Pizza Hut US, and Toyota Motor North America. Dialexa has deep experience delivering end-to-end digital product engineering services consisting of strategy, design, build, launch, and optimization services across cloud platforms including AWS and Microsoft Azure.

“Digital product engineering represents the tip of the spear for competitive advantage,” said Scott Harper, CEO and Co-Founder, Dialexa. “IBM and Dialexa’s shared vision for delivering industry-defining digital products could be a game changer. We are thrilled to become part of one of the world’s most iconic companies to continue to scale and grow our global client relationships in this rapidly growing market.”

“The Dialexa team has been an outstanding partner for us in deepening our product thinking and assisting in our design practice on some of our key digital initiatives. It is rare to find a partner with such a strong combination of great thought partnership and deep execution capabilities,” said Chuck Rhoades, Chief Technology Officer, Pizza Hut US. “We’re excited about the possibilities of bringing these two companies together.”

The transaction is expected to close in the fourth quarter of this year and is subject to customary closing conditions and regulatory clearances. Financial details were not disclosed.

CAIRO, SEPTEMBER 14, 2022 – IBM – a leading hybrid cloud, AI, and business services provider – has been named technology partner of the 2022 United Nations Climate Change Conference, or COP27, to be hosted by the Egyptian government in Sharm El-Sheikh during November 6 to 18. At the conference, IBM will showcase how technology and consulting can help business and government leaders align sustainability goals to organizational objectives, responding to regulatory demands and without compromising profitability.

This collaboration with the Presidency of Egypt builds on IBM’s history of environmental commitments and alliances, such as establishing a goal to achieve net zero greenhouse gas emissions by 2030 or being a founding member of the United Nations Environment Programme’s Science-Policy-Business Forum on the Environment. IBM also enables organizations and communities to tackle environmental issues through programs like the IBM Sustainability Accelerator.

“IBM is honored to be technology partner in this year’s historic COP conference and to help address the existential challenge of climate change,” said IBM’s Chairman and CEO Arvind Krishna. “I believe that technology can turn sustainability ambition into action. At IBM, we combine technology and expertise to help some of the world’s largest public and private organizations achieve their sustainability goals, in addition to setting our own strong environmental commitments.”

COP27 President-Designate, Sameh Shoukry, Minister of Foreign Affairs of the Arab Republic of Egypt welcomed IBM as technology partner of COP27. He highlighted the critical role that technology plays in helping governments, companies and organizations meet climate goals. Also, he recognized IBM’s expertise in creating innovative solutions that can contribute to push the climate agenda forward.

ARMONK, N.Y., September 13, 2022 — IBM today unveiled the next generation of its LinuxONE server, a highly scalable Linux and Kubernetes-based platform, designed to deliver scalability to support thousands of workloads in the footprint of a single system1. IBM LinuxONE Emperor 4 features capabilities that can reduce clients’ energy consumption. For example, consolidating Linux workloads on five IBM LinuxONE Emperor 4 systems instead of running them on compared x86 servers under similar conditions can reduce energy consumption by 75%, space by 50%, and the CO2e footprint by over 850 metric tons annually2.

According to an IBM IBV study, 48% of CEOs across industries say increasing sustainability is one of the highest priorities for their organization in the next two to three years. However, 51% also cite sustainability as among their greatest challenges in that same timeframe, with lack of data insights, unclear ROI, and technology barriers, as hurdles. For these CEOs, scaling their business with modern infrastructure can often be one of the barriers to achieving sustainability goals.

“Data centers are energy intensive, and they can account for a large portion of an organization’s energy use. But data and technology can help companies turn sustainability ambition into action,” said Marcel Mitran, IBM Fellow, CTO of Cloud Platform, IBM LinuxONE. “Reducing data center energy consumption is a tangible way to decrease carbon footprint. In that context, migrating to IBM LinuxONE is designed to help clients meet their scale and security goals, in addition to meeting sustainability goals for today’s digital business.”

IBM LinuxONE Emperor 4 is an engineered scale-out-on-scale-up system designed to enable clients to run workloads at sustained high density and increase capacity by turning on unused cores without increasing their energy consumption and associated greenhouse gas emissions.2 In addition, clients can track energy consumption with IBM Instana Observability on LinuxONE.

IBM’s portfolio of sustainability technologies includes solutions to design, deploy and manage energy efficient infrastructures and innovations with a hybrid cloud approach. IBM LinuxONE is one solution within the portfolio designed to optimize data centers by reducing energy consumption and improving energy efficiency. IBM LinuxONE Emperor 4 will be generally available globally on September 14, 2022, with entry and mid-range systems to follow in 1H 2023.

Respond to unpredictable demand

Shifts in the global economy have driven volatility and require flexibility in operational and technical decision-making. Built with the same security, scalability and reliability that has been the hallmark of IBM infrastructure, the next-generation LinuxONE also offers cloud-like flexibility. With a system built for rebalancing of resources in combination with on demand capacity, workloads can scale-up and scale-out dynamically and non-disruptively.

“For CIOs, change is happening at an unprecedented rate and requires organizations to invest in infrastructure that is stable, high value and energy-efficient,” said Bjoern Stengel, IDC Global Sustainability Research and Practice Lead. “IBM LinuxONE provides organizations with a secured, scalable architecture to meet their government regulations and customer expectations.”

At Citi, the bank’s sustainability strategy is driven by a commitment to advance solutions that address climate change and support the transition to a low-carbon economy. Operationally, Citi is focused on reducing the environmental footprint of its facilities, including through improving hosting densities with lower power consumption. Citi is hosting MongoDB on IBM LinuxONE, leveraging the platform’s security and resiliency, as well as elastic capacity to address unexpected demand.

“As our business grows and becomes increasingly digital-first, traditional IT solutions add more physical servers and increase required floor space,” said Martin Kennedy, Managing Director, Citi Technology Infrastructure. “IBM LinuxONE with MongoDB provides vertical scale and critical protection against data breaches and cyber-attacks, helping optimize data centers while lowering our overall carbon footprint.”

Sustainable without compromising security

The new LinuxONE system also features pervasive encryption to protect data at-rest and in-flight, a priority for clients in regulated industries such as financial services. Building on IBM’s cloud security leadership in confidential computing, IBM LinuxONE Emperor 4 protects data in use while providing end-to-end encryption. This comprehensive data protection profile provides businesses with a data protection strategy that underpins current and anticipated future cyber security protocols.

Hybrid cloud platform for cloud and on-premises workloads

Today’s hybrid and multicloud environments require clients to deploy workloads where it makes the most sense for their business needs. IBM Cloud Hyper Protect Virtual Servers provide a public cloud environment in which the cloud tenant maintains complete authority over Linux-based virtual servers for workloads that contain sensitive data. Built on IBM LinuxONE and running on IBM Cloud, this service provides customers complete authority over their encrypted data, workloads and encryption keys – not even IBM as the cloud provider has access.

IBM LinuxONE Emperor 4 supports a large number of Linux and Red Hat OpenShift-certified workloads, including data serving, core banking and digital assets. IBM LinuxONE Emperor 4 receives support from IBM Ecosystem partners, such as Clari5, Illumio, Metaco, MongoDB, NGINX, Nth Exception, Fiorano Software, Fujitsu Limited, Pennant, SQ Solution, Sysdig and Temenos.

With cloud native development on LinuxONE, teams of developers can deliver portable and agile solutions without having to learn a new operating system. IT managers need a system that is easy to operate that supports common tools and provides a foundation for the future. LinuxONE enables managers to focus on delivering new services, instead of managing complexity across a vast number of servers. Based on Linux and Kubernetes, everyone benefits from open standards and an ecosystem that includes modern DevSecOps and cloud native tools.

“Together, Temenos and IBM LinuxONE can help major banks move to a modern architecture in a safe, predictable and scalable way, while reducing total cost of ownership and meeting their ESG obligations,” said Philip Barnett, President of Strategy Growth at Temenos. “Temenos core banking running on the new LinuxONE servers can operate at a fraction of the cost of general-purpose servers and offer great scalability, resilience and speed to market.”