In the dynamic environment of technology, predicting future trends is a challenging yet essential endeavour. As we stand on the cusp of a new year, we engage with leading industry experts who delve into the movements poised to reshape the European landscape, paving the way for the next wave of technological evolution.
A new report by leading providers of IT infrastructure, Softcat, offers a look into the technologies that businesses are prioritising over the next 12 months.
The findings are based on the views of more than 4,000 customers from 2,900 organisations in the UK and Ireland, across 27 industries in both the public and private sectors.
The annual report reveals organisations are, for the second year running, prioritising cybersecurity above all technology areas, with 56% of respondents saying that it is their focus over the next 12 months.
Kieron Newsham, Softcat Chief Technologist for Cyber Security, said: “It’s clear from the report’s findings that organisations are yet again recognising the importance of cybersecurity amid the relentless pace of technological advancement and evolving threats.
“To truly mitigate risk, organisations must be resilient. They can do this by being wary of how new technologies can increase threats while embracing and utilising them to recover and normalise operations after cyber incidents.”
After cybersecurity, organisations are prioritising digital workspace, with devices and end user computing the second most cited technology investment area for over a third (39%) of organisations over the next year.
Organisations that recognise the importance of optimising their digital workspace to maximise efficiency in an age of flexible work environments and an ever-changing digital landscape, such as Generative AI, will reap benefits such as enhanced productivity, security and sustainability.
Data is the third most important technology area, with 28% of customers citing it as a priority area over the next 12 months, followed by networking and connectivity (25%) and data centre and private cloud (18%).
The report also highlights the importance of AI, its potential to reshape business and technology and how organisations should balance the scales of opportunity and challenges to harness the newfound intelligence responsibly.
Meanwhile, organisations were also able to share what they expected to be their biggest challenges over the next 12 months. People-related challenges were a concern for 48% of respondents, followed by commercial risk (40%), processes (31%), technology experience (30%) and procurement (26%).
For those working in the IT landscape, key themes mentioned for each challenge include inflation, technology advancements and skill gaps – which will likely see organisations and their employees increase resilience and continuously adapt to remain ahead of the competition.
Additionally, as organisations embrace the fifth industrial revolution, respondents were able to rank their key environmental, social and governance (ESG) focus areas for the year ahead. People and culture is a top priority for 70% of respondents over the next year, closely followed by sustainability (68%) and diversity and inclusion (55%).
2023 marks the third year running that sustainability is high on the agenda for many businesses, with 3x more respondents citing it as a priority, up from 19% in 2022.
Mark Pestridge, Executive Vice President and General Manager, Telehouse Europe
As European organisations navigate through a dynamic landscape in the year ahead, they will encounter a blend of challenges and opportunities. Telehouse recently conducted research which delved into the perspectives of IT decision-makers regarding this shifting terrain. The findings indicate concerns, with 95% currently perceiving their digital infrastructure as a risk to their operations. Yet, this awareness is also fostering a proactive approach towards innovation. As we look ahead, we expect to see a continuation and evolution of key trends which will shape the digital and technological landscape in Europe.
The first will be a continued exponential growth in data volumes. This is attributed to IoT device proliferation, widespread AI adoption, Machine Learning (ML), more sophisticated data analytics and the ongoing shift to cloud-based remote working. Organisations that don’t consider the adoption of high-density, high-performance computer systems to harness this data will struggle to leverage new technologies and remain competitive. Data expansion and new software deployments will also lead to new vulnerabilities, so there will need to be a focus on bolstering software defences.
The introduction of new technologies will be a running theme in 2024. Alongside huge advances in AI and ML, Edge computing deployments will offer more opportunities for faster data processing. But organisations will need to be fully ready to be able to adopt this technology, with one-in-ten (11%) currently limited in their resources.
Emerging solutions will need the human capabilities in place to get the most from them, but the persistent skills shortfall will continue in 2024. Decision-makers have identified significant AI skills deficits (29%), alongside cloud deployments and security expertise. In fact, cyberattacks are a top concern among a third (33%) of organisations, with fears exacerbated by the evolving landscape of mandatory regulations and compliance standards in the EU. To help bridge the skills gap next year, we’ll see a growing trend for more comprehensive internal training schemes that focus on AI, Edge computing and cybersecurity.
As organisations grapple with these challenges in the year ahead, we’ll see more looking towards external services to both address them and tap into the opportunities. Data centre colocation services offer adequate storage, bandwidth, interconnectivity, cost efficiency and sustainability to ensure a reliable and resilient distribution of service. Businesses will be better placed to tap into emerging technologies and can scale accordingly as data volumes grow.
As colocation proves to be the answer in 2024 and beyond, a large proportion of European organisations will increase investment in data centre infrastructure and explore commercial relationships with colocation providers to improve connectivity capabilities. While concerns will continue to mount about cyber-risks, downtime and regulatory compliance under a cloud of skills shortages, the right partnerships will help them navigate the coming years.
José Araujo, CTO, Orange Cyberdefense
Government policy and regulation will be at a turning point for defenders and attackers
In 2024, EU member states will be required to incorporate the NIS2 directive into national legislation by October, requiring organisations in more sectors to establish a higher level of cybersecurity, resilience and comply with incident reporting lead times. As the first sanctions and charges are applied, we anticipate a turning point into elevating cybersecurity as a key focus in boardrooms.
Similarly, we foresee a potential turning point on Cyber Extortion (Cy-X) activity driven by joint government policy. In a year where Cy-X activity level was the highest ever recorded by Orange Cyberdefense’s Security Research Team, over 40 countries members of the International Counter Ransomware Initiative have agreed a joint policy declaring that member governments should not pay ransoms demanded by cybercriminal groups. They also agreed a shared blacklist of wallets used by ransomware actors, commitment of pursuing actors responsible, amongst other initiatives. We are yet to see its impact on Cy-X statistics but anticipate this cooperation may damper the viability of the Cy-X ecosystem in the future.
Artificial Intelligence cyberattacks are evolving
While AI has long been used in cybersecurity, it was mainly used to detect weak signals in large volumes of data or mixed sources. The performance of the algorithms used has greatly improved, thanks to today’s storage and computing capacities. As such, results have changed the situation not only in terms of protection but also in terms of the ability of attackers to take advantage of it.
For phishing attacks, it will become increasingly complex to identify a fraudulent message by its form or content. AI enables attackers to write content in the victim’s language, without syntax or grammatical errors and, above all, by adapting to their victims. In the future, these attacks will take other forms, such as ‘vishing’ (phishing carried out by telephone or voice message), which is even more complex to combat.
In the creation of malware, Generative AI will provide valuable assistance. It puts legitimate capabilities designed for developers within reach of cybercriminals. If today these technologies are not able to replace expertise, they facilitate and accelerate the software implementation work. When it comes to implementing the exploitation of a newly discovered vulnerability, the risk of finding unprotected systems will be even greater. We must anticipate an increase in the use of this type of solution, especially since the level required to take advantage of it will become easier, as the reliability of Generative AI advances.
Finally, we are already seeing the impact of Generative AI on the increase in ransomware in certain geographic areas. Until now, many targeted countries were English-speaking. We must now prepare for real-time, high-quality machine translation capabilities, as well as automation of the early phases of negotiation using AI technologies that will make it possible to target a wider variety of countries.
Phil Lewis, Senior Vice President, Solution Consulting, Infor
As technology advances at an unprecedented pace, we are set for more transformation over the next decade. I’ve outlined five trends and predictions that I believe will be key in enabling businesses to thrive in the dynamic markets of tomorrow.
Advanced analytics and Big Data drive decision-making: Looking ahead, the future heavily relies on harnessing the immense power of big data and advanced analytics, which play a pivotal role in shaping strategic decision-making processes. Forward-thinking businesses will utilise sophisticated predictive algorithms and real-time data analytics to make highly informed decisions, optimise inventory levels, accurately predict demand patterns and deliver personalised customer experiences. To fully leverage these invaluable data tools, organisations should migrate their ERP systems to the cloud, enabling them to effectively deploy and capitalise on the transformative potential of advanced analytics and Big Data.
Sustainable and eco-friendly practices: In response to mounting environmental concerns and an ever-increasing demand for ethically conscious products, the importance of incorporating sustainable and eco-friendly practices cannot be overstated. Cutting-edge businesses are proactively adopting and embracing environmentally friendly initiatives. By prioritising sustainability, companies address environmental challenges and cater to a growing market segment that values eco-conscious products and distribution practices.
Blockchain revolutionises traceability and transparency: Blockchain technology’s revolutionary potential could be genuinely transformative, offering unparalleled traceability and transparency. Distributed ledger systems powered by blockchain enable real-time tracking and monitoring of products throughout the entire supply chain. By effectively combating counterfeiting, substantially reducing instances of fraud and ensuring the authenticity of goods, blockchain technology significantly enhances trust and accountability.
Hyper-personalisation and customer-centric experiences: The future distribution landscape will be characterised by an unwavering dedication to customer-centricity fuelled by the immense power of hyper-personalisation. Leveraging advanced analytics, Machine Learning (ML) and Artificial Intelligence (AI), businesses will possess the extraordinary ability to deeply understand individual preferences, enabling them to deliver meticulously tailored products, personalised offers and unforgettable experiences that foster exceptional customer satisfaction and unparalleled brand loyalty.
Augmented Reality (AR) enhances product visualisation: Augmented Reality (AR) emerges as a ground-breaking technology that plays an instrumental role in elevating the visualisation of products and profoundly shaping consumer decision-making processes. As AR-enabled devices become increasingly prevalent, consumers can experience products virtually before purchasing. This transformative capability revolutionises the online shopping experience, effectively bridging the gap between physical and digital realms and empowering consumers with unprecedented confidence and satisfaction.
Wherever you are on your digitalisation journey, embracing automation, leveraging Big Data and analytics, adopting sustainable practices and harnessing emerging technologies is crucial for businesses to stay competitive. By embracing these trends in 2024, companies will see new opportunities can be unlocked, efficiencies enhanced and exceptional customer experiences delivered.
Click below to share this article