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Cloud Spending Soars, Yet Telcos Underutilize 50% of Their Capacity

Spending on cloud infrastructure is reaching unprecedented levels. However, recent data suggests that telecom companies are utilizing less than half of the cloud services for which they have already made payments.

According to Infosys, “Telecom companies aren’t using all the cloud that they have already provisioned. Our survey found that telecom companies consume only 48% of the cloud they are committed to,” based on a survey of executives in the telecom industry.

This implies that, on average, telecom firms have yet to utilize 52% of the cloud services they have already contracted.

The slow adoption of cloud services is largely due to the challenges associated with moving from traditional IT systems to cloud platforms, which often entails complex interdependencies and customizations, as highlighted in the firm’s Cloud Radar – Telecom Industry Report.

Cloud spending is on the rise, prompting important discussions about how the telecommunications industry is adapting to this growth. While various sectors are leveraging cloud technologies, the question remains: is the telecom sector fully utilizing this opportunity?


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