Technology Report: How business leaders are navigating and negotiating risks with major Cloud Service Providers (CSPs)
Negotiations with major Cloud Service Providers (CSPs) can be challenging, even for powerful multinational businesses. What strategies can senior leaders employ to negotiate successfully?
This report details the experiences of over 50 senior leaders working in large global organisations. The findings reveal three key themes concerning business leaders around data control & security, pricing and collaboration.
The research encompasses views from 28 senior legal professionals (General Counsel, Head of Legal, Legal Director) and 28 respondents in senior technology roles (CTO, Chief Information Officer, IT Director) in global organisations that have annual turnovers over £500m.
This report presents independent research findings conducted in Q2 2024 by specialist research and strategy consulting firm Meridian West, on behalf of Addleshaw Goddard.
SOME OF THE STATS YOU WILL ACCESS
As a customer of one of those big suppliers, you don't have a lot of scope for negotiating standard terms. So, you have to work on risk mitigation internally rather than seeking to get changes to the contract.
Obviously, we're only going to look for something that gives us the right protections for our data, but that means that if the terms aren't right, we have to flag risks and decide whether we want to go ahead with it and how we're going to use it rather than renegotiate the terms to make it work for us. We just have to be pragmatic about it.
Practice shows that we are 90%+ concentrated on one vendor. We find it much more difficult to find talent to really bring our multi-cloud strategy to life. And none of the providers want to be your secondary or tertiary provider, so that also means the commercial conditions for anybody who's not a primary don’t work in our favour.
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