Regardless, TBR analysts have suggested a number of ways in which the four integrators might be able to make their revenue growth accelerate over the coming years.
“Accenture could accelerate revenue growth through further investments in cybersecurity, as well as a cultural shift from a global delivery to local presence,” the TBR report stated.
Additionally, TBR suggested that Accenture will strive to address the threat presented by amplified competition from IBM and Deloitte by developing proprietary and partner‐run solutions for new offerings.
At the same time, as IBM’s long‐term Watson bet begins to take shape, the company’s automation prowess could speed up its growth.
“By integrating Watson into its automation solution, IBM positions to ‘not only offset investments in onshore digital talent and client centers but also monetise its own IP through a value-added service offering’,” the report said.
For Atos, offering cybersecurity solutions that are differentiated from those of Accenture and other peers could make a substantial growth difference, TBR suggested.
Capgemini, on the other hand, may need to look beyond its traditional markets and expand further into North America to significantly increase its revenue growth trajectory.
Emerging challenges in the broader market
While the potential for the integrators to tap into new sources of growth, there are also challenges that need to be navigated going forward.
In contrast to the past several years, for example, when cloud dominated new offerings and the areas of growth in the market while more conventional IT services growth remained relatively flat, the next few years is likely to see a departure from this now established trend, according to TBR.
Heffernan suggested that this shift could have something to do with individual vendors still trying to understand which new IT services will emerge from new technologies and which services will disappear.
“In the near term, we can expect a few disruptions to become substantial and significantly challenge these four vendors in their efforts to continue growing, even if it’s unclear which disruptions will fully play out,” he said.
Another potential challenge could be emerging from the Asia Pacific (APAC) region.
According to TBR, while many global consultancies steadily invest in APAC, targeting local clients as they look for born‐on‐the‐cloud opportunities, some APAC‐headquartered consultancies are similarly investing in the United States, heavily betting on their native expertise to win companies looking to expand overseas.
Meanwhile, the multibillion-dollar merger of Hewlett Packard Enterprise’s (HPE) Enterprise Services business and CSC earlier this year, creating DXC Technology, could be the first of many mega‐mergers set to disrupt the market.
“Combine these mega‐mergers with automation cannibalising revenues related to outsourced IT services, and additional large vendors could be created and/or disappear before 2022,” the report stated.
“Despite having only one‐tenth of the staff across vendors in TBR’s Global Delivery Benchmark (GDBM), Big Four firms are increasingly making legacy IT services vendors wary,” it said.