Recent earnings results paint a somewhat bleak picture as CX vendors brace for a downturn.
Lengthening deal cycles and end-users bringing in more decision-makers into prospective deals – as economic uncertainty looms – have certainly thrown the cats amongst the pigeons.
Yet, two vendors coming out relatively unscathed are ServiceNow and IBM.
Indeed, ServiceNow and IBM have posted YoY revenue rises of 21 and 15 percent, respectively.
How have these two companies repelled the revenue slump? Of course, there are likely many factors at play. Nevertheless, both businesses give credit to their hybrid cloud strategies.
The Impact of Hybrid Cloud
Hybrid cloud is fast becoming the dominant architecture for the enterprise, according to a 2022 Harris Poll study.
It finds that 77 percent of businesses have adopted a hybrid cloud for their organizations, with data located across multiple clouds, on-premise, or at the edge.
ServiceNow and IBM are helping organizations build these architectures and reduce complexity.
Indeed, the topic was front and center of their recent earnings calls.
Notably, Bill McDermott, President and CEO of ServiceNow, stated:
Hybrid multi-cloud deployments, adoption of a modern data infrastructure stack, cybersecurity and risk management, AI and data analytics, remote work and collaboration, these trends are not only durable, their relevance is expanding.
"In the U.S. alone, nearly 100 million workers will remain in hybrid environments. 27 billion connected devices will drive more data in cloud over the next three years. And ServiceNow's platform directly addresses all these challenges."
IBM is also filling this crucial gap, supporting companies in taking a cautious, incremental approach to cloud innovation. Such an approach is allowing it to negate the CX downturn.
"We continue to see solid demand for our hybrid cloud," added Arvind Krishna, Chairman and CEO at IBM.
By deploying powerful hybrid cloud and AI technologies, IBM is helping businesses seize new opportunities, overcome today's challenges, and emerge stronger.
Indeed, this strategy is working for IBM, securing over 200 new hybrid cloud clients in the last quarter alone.
