This document outlines how Cloud Service Providers (CSPs) can change to evolve in the face of commoditization, competition and shrinking margins. CSPs can innovate new services by using a distributed interconnection platform that provides dynamic, secure connections and automates cloud integration, hybrid cloud management and use-based accounting.
Commoditization of basic cloud services and the subsequent lower prices are negatively impacting revenue growth for cloud service providers. Combined with higher enterprise onboarding and offboarding costs, these developments are pressuring CSPs to innovate new services and create specialized offerings to compete. CSP customers are demanding higher-value services to prevent lock-in, simplify multicloud management, and gain visibility into service levels and spending, all while ensuring their applications and workloads provide the best possible user experience.
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