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Updated by Charles Bystock on 08/24/2022

data center outsourcingTraditional outsourcing offers clients an option that allows a service provider to control and run a given infrastructure function on your company’s behalf. If you look at traditional data center outsourcing for instance, it typically consists of a data migration that seamlessly transitions your organization’s data center to the chosen service provider’s data center.

Things never stay the same for long, however, and traditional outsourcing techniques are being supplemented by what is commonly referred to as the “new” outsourcing; managed hybrid cloud computing. Managed hybrid cloud computing is the next wave in the outsourcing evolution, giving outsourcing a variety of new alternatives for reducing costs, improving service and helping companies transform their infrastructure in innovative ways.  But, first let us look at how we got here though the evolution of cloud computing.

The Era of Cloud Computing

Cloud computing gives IT leaders the ability to access their data, build architecture and implement additional applications, all while retaining the benefits of an outsourced solution. With a new spectrum of sourcing possibilities available, cloud computing now addresses the following:

  • Co-location
  • TIM
  • SaaS Cloud
  • Public Cloud (IaaS/PaaS)
  • Private Cloud
  • Hybrid Cloud
  • Managed Cloud
  • Managed Services
  • Selective Outsourcing
  • Full Outsourcing

In addition, the aforementioned is no longer mutually exclusive. In fact, the large majority of enterprises will employ a combination of these strategies in order to create a more dynamic IT infrastructure. For example, even when a company selects a fully outsourced solution, they will insist on transforming their environment into a ‘cloud-like’ methodology with agility, scalability, and pay-for-usage.

Evolution into the New Outsourcing

Cloud computing continues to evolve and has transformed into managed cloud offerings where providers are now completing those hands-on activities on behalf of the client in a cloud environment. With cloud computing continuously maturing, expanding and evolving, it also continues to infiltrate the outsourcing market in ways that are pushing traditional outsourcing from the forefront as managed cloud providers also become hybrid cloud providers.

Because of this, traditional outsourcing providers are also evolving their traditional models and are building off of a cloud-based foundation. Competing with managed cloud providers, outsourcing providers are incorporating usage-based pricing to replace their fixed fee pricing structures.

Blending Traditional and New Outsourcing Techniques

Traditional outsourcing providers aren’t the only ones working to adopt competing technologies and tactics in the marketplace. Cloud providers are also working to evolve and expand to stay competitive and relevant for those companies looking to outsource all aspects of their IT infrastructure and are now starting to offer network services, help desk support, desktop support and more on top of the standard cloud computing offerings.

We’re seeing a marriage of traditional outsourcing, cloud, managed cloud, and even hybrid cloud offerings in an attempt by providers to give IT leaders exactly what they’re looking for in today’s marketplace. At the end of the day, it’s about reducing costs, increasing agility and freeing up valuable resources to dedicate to other critical areas of a business. And the fact is, in today’s modern IT environment, it takes some creativity on the provider’s side to be able to cater to the ever-growing and ever-changing requirements of today’s enterprises.  But, whatever the answer is for your enterprise, traditional, cloud, or hybrid, you can be sure that, in time, a new method of outsourcing will certainly enter the market and challenge the way we conduct today’s IT outsourcing business.