Future-proofing the industry: Cloud transformation in the Technology, Media and Telecommunications sector in CEE

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In many industries cloud transformation is rapidly progressing from an option to a business imperative. The cloud brings capabilities for organisations to be faster, flexible and resilient—and have greater scope for innovation while saving costs and improving efficiency. 

For Technology, Media and Telecommunication (TMT) companies which rely heavily on legacy infrastructure with huge IT operations and workloads, adopting cloud infrastructure is critically important for future-proofing their organisation—and this transition should not be delayed any longer.

Our findings draw on the TMT industry cut of PwC's Cloud Business Survey—CEE edition. It aims at what the journey to cloud involves for the TMT sector in the Central and Eastern Europe region and assesses the opportunities and challenges along the way. To provide a broader business context, we compared the CEE findings with those of the more mature markets of EMEA and the US to examine the prospects for cloud transformation in Central and Eastern European TMT companies. 

Key takeaways for the Technology, Media and Telecommunication sector in CEE

High expectations accompany the move to the cloud, with many companies acknowledging the need to leverage cloud not only for modernisation but to develop more cloud-native infrastructure. Many organisations, however, still struggle to realise cloud technology’s full potential as they face numerous barriers and challenges. 

Mirroring the picture in CEE companies across industries, cloud maturity across the TMT sector in the region is relatively low. TMT companies in the CEE region have more moderate ambitions to have all their operations on the cloud in the short term. TMT organisations often have a dual role as both providers and participants in the cloud ecosystem; thereby facing decisions over how they balance and combine these roles.

• 35% of TMT companies in CEE have adopted cloud in all or most parts of their business.

• 3% are ‘all-in’ on the cloud and have scaled it throughout the business (high cloud maturity).

• 32% have adopted cloud technology in many parts of their business and have evolved their operating model (medium cloud maturity). 

Question: Which of the following best describes your company’s cloud maturity?

Among TMT companies in CEE that don’t have all operations in the cloud: 

• 33% plan to have all operations on cloud within the next two years. 

• 58% anticipate moving at least half of their operations to the cloud within the same timeframe.

Question: Which of the following best describes your company operations on the cloud?

Approaching half (49%) of TMT companies in the CEE region are primarily leveraging the cloud to modernise, while migration, cloud-native development and combination approaches are considered less.

However, 40% of these companies plan to focus more on cloud-native development over the year—this is in line with EMEA and US TMT companies trends and those across industries in the CEE region.

Question: How do you think your company’s cloud technology strategy will primarily change over the next 12 months?

The main barriers to achieving measurable value from cloud transformation for TMT firms in CEE are budget and investment constraints, limitations of technology capabilities and talent gaps.

Question: Which of the following have been the biggest barriers to achieving measurable value from cloud technologies?