Verizon: Digital Transformation Means Rethinking the Enterprise Network

BASKING RIDGE, N.J., Sept. 28, 2015 /PRNewswire/ -- As the world becomes more digital, enterprise networks are being stretched by more data traffic. In fact, traffic on Verizon's public IP network grew nearly 300 percent over the past four years, a compound annual growth rate of 44 percent.

Now, it's time for businesses to re-think their networks. The digital transformation and its impact on networks is the subject of a first-of-its kind report from Verizon called "Digital Transformation Powers Your Business." The report looks at issues facing enterprises as the digital evolution marches on, then outlines key drivers of digital transformation, encourages CIOs and leaders across organizations to rethink their network, in order to drive results.

"Customers and employees demand responsiveness and speed in every interaction, making it even more important for enterprises to reinvigorate their interest in building and maintaining flexible, robust and reliable networks or finding the right managed network services partner," said Chris Formant, global president , Verizon Enterprise Solutions. "The network is at the core of any digital initiative. So when it comes to what any company's network has to deliver, performance, reliability and security are key."

More than two-thirds (67%) of IT leaders surveyed for the report told Verizon that legacy networks can be a bottleneck to success. Nearly 80 percent of them said that it was IT's responsibility to ensure the network can support a company's digital transformation plans, and a vast majority of respondents said that the network is integral to the competitive advantage of a connected business.

And, importantly, preventing network failures is imperative, as it is estimated that just an hour of critical application failure can cost a large enterprise up the $1 million. ¹

The report shows that any network should go beyond just connectivity and align directly with business needs. The technologies and platforms that emerged over the past several years continue to grow on their own, and taken together provide the core of any digitally-focused enterprise.

Eighty percent of businesses said that improving customer experience was a critical or high priority for their business. Seventy-four percent agreed that poor network quality translates to poor user experience. Nothing ruins a customer's digital experience quite like a timeout, particularly when everything is stored in the cloud.

Cloud, mobile, the Internet of Things, big data and advanced analytics and virtual reality and collaboration solutions are critical considerations when doing network planning. And, the network is arguably the single most important focus for enterprise technology investments in the next five years.

Verizon offered an outline of what companies can do — starting now — to help their companies be more efficient and deliver the best customer experiences. It can be as simple as a three-step plan:

1. Create the right environment;
2. Leverage new technologies like SDN where it makes sense to benefit the business and customers;
3. Identify and use strong partners to execute plans.

Verizon commissioned Forrester Research to study attitudes toward business challenges and transformation. The research took place in February 2015, and more than 600 decision makers at large enterprises and multinational corporations took part. Respondents came from North America, Latin America, EMEA and Asia Pacific.

Verizon's report is available to download here.

¹ IDC, DevOps and the Cost of Downtime: Fortune 1000 Best Practice Metrics Quantified, Doc 253155, December 2014.

Verizon Enterprise Solutions helps clients improve customer experience, drive growth and business performance and manage risk. With industry-specific solutions provided over the company's secure mobility, cloud, strategic networking, Internet of Things and advanced communications platforms, Verizon Enterprise Solutions helps open new opportunities around the world for innovation, investment and business transformation. Visit www.verizonenterprise.com to learn more.

Verizon Communications Inc. (NYSE, Nasdaq: VZ), headquartered in New York, employs a diverse workforce of 178,500 and generated more than $127 billion in 2014 revenues. Verizon Wireless operates America's most reliable wireless network, with 109.5 million retail connections nationwide. Verizon also provides converged communications, information and entertainment services over America's most advanced fiber-optic network, and delivers integrated business solutions to customers worldwide. For more information, visit www.verizon.com/news/.

Verizon Enterprise Online News Room: News releases, blog posts, media contacts and other information are available at Verizon Enterprise Solutions News & Insights (news.verizonenterprise.com). News from Verizon Enterprise Solutions is also available through an RSS feed at http://www.verizonenterprise.com/rss-options/.

SOURCE Verizon

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