Network Outages Cost Global Firms Millions Annually - Expereo
KUALA LUMPUR, July 1 (Bernama) -- Global businesses are facing significant financial losses due to network instability, with 28 per cent reporting revenue declines of up to US$5 million and another 23 per cent exceeding that figure, according to the latest findings from an IDC InfoBrief commissioned by Expereo. (US$1=RM4.19)
Titled “Enterprise Horizons 2025: Technology Leaders Priorities: Achieving Digital Agility”, the report highlights the mounting toll of network outages or poor performance on enterprise operations, with nearly half (49 per cent) of global organisations re-evaluating their technology infrastructure in response to recent high-profile information technology (IT) disruptions.
As a result, networking and connectivity has emerged as the top investment priority for global businesses over the next 12 months, cited by 43 per cent of respondents, ahead of cybersecurity (38 per cent) and artificial intelligence (AI) (37 per cent).
Expereo Chief Executive Officer, Ben Elms said to drive a sustainable competitive advantage, connectivity is no longer an IT concern; it is a strategic business imperative.
“As organisations adopt new AI solutions, network performance must be prioritised at the same level as cybersecurity and AI, or businesses risk falling behind,” he said in a statement.
Last year, AI led the rankings at 42 per cent, followed by cybersecurity (37 per cent) and networking and connectivity (35 per cent), reflecting a shift in urgency among technology decision-makers.
The study found that 27 per cent of businesses consider inadequate network and connectivity performance a direct threat to growth plans, while 45 per cent said it is limiting their ability to scale data and AI initiatives. Only six per cent of businesses believe their networks are fully equipped to support AI without obstacles.
The report also highlights a widening skills gap, with 41 per cent of organisations struggling to hire or retain cybersecurity professionals, followed closely by networking talent (39 per cent).
In response, 45 per cent of businesses plan to increase reliance on external partners, including vendors and managed service providers, to bridge critical gaps in network capability.
-- BERNAMA