• Capgemini rolled out a suite of six services to help companies leverage the benefits of edge computing and 5G.
• Success will depend on Capgemini’s ability to demonstrate its industry expertise and experience in managing complex ecosystems, and customers’ appetite for new digital transformation projects during the pandemic.
Edge computing and 5G networking are hot technologies that claim to propel businesses into the future by supporting intelligent industry and digital transformation. There is no doubt that the proliferation of connected devices holds the potential to transform how businesses operate, leading to greater efficiency, increased automation, and more insightful and timely data-driven decision-making. Edge computing provides processing power closer to the source of data collection, improving latency and addressing privacy-related concerns. 5G networking enables businesses to transmit large volumes of data to an edge device quickly, reducing latency and costs associated with sending data to the cloud, and facilitating a more near real-time experience. Despite the benefits these technologies promise to deliver, identifying appropriate use cases and deploying the solutions can be a challenge for many organizations.
• Plan & Strategy – Digital Transformation: helps businesses identify 5G and edge computing use cases for their specific industry. Capgemini works with customers to develop a digital strategy, architecture, and roadmap.
• 5G Network Infrastructure: helps clients design and build an end-to-end network, IT and enterprise architecture blueprint and roadmap.
• Strategic Service Platforms: helps organizations design and develop service platforms covering solution frameworks for applications and services, and edge and cloud computing
• Use Cases & Applications: helps clients design, develop, set up, and test 5G and edge use cases and applications
• Ecosystem Orchestration & Integration: helps customers integrate and test end-to-end solutions, to ensure convergence of network and IT systems; includes partner coordination.
• 5G End-to-end Business & Operational Services: helps organizations transform operational processes; run and manage multi and hybrid cloud solutions; monitor use cases and business processes performance; and ensure security, quality of service, service assurance, and resilience.
The new solutions are likely the first of several upcoming announcements that draw on the capabilities acquired via Capgemini’s recent purchase of Altran. Success with these new services will likely depend on Capgemini’s ability to deliver them within the context of industry-specific processes and regulatory environments. During its recent analyst conference, Capgemini noted that a key component of its strategy is to develop industry-specific solutions. However, in order to move forward it first needs to identify a set of top priority industries for which it will deepen its expertise and develop thought leadership.
Additionally, in the edge computing space Capgemini faces competition from other vendors, hyperscalers, and IT services providers that are also looking to help customers develop and deploy applications. Many of them take a more IoT centric approach, but also offer consulting, solution and partner management, and edge-enabled applications. Capgemini is wise to offer a service that draws attention to its ability to help orchestrate and integrate the various components that comprise an end-to-end implementation. The technologies require an ecosystem of players and managing such an environment can be complex. Going forward, Capgemini should more closely tie its data analytics capabilities into its edge and 5G services suite. Although the company emphasizes that the technologies enable deeper and faster analytics, it doesn’t detail how it incorporates data analytics into the edge and 5G portfolio.
Furthermore, Capgemini will be challenged by the current economic environment. Although COVID-19 highlighted the benefits of increased automation and greater agility that come with access to better information, some organizations have had to postpone projects deemed as ‘nice to have’ and prioritize spending that is essential to continuing operations. Capgemini’s performance in Q2 2020 reflects the economic uncertainty created by the pandemic. Given the company’s sizeable European customer base it felt the impact of corporate lockdowns earlier than some competitors. However, Capgemini is wise to continue to invest in developing thought leadership as well as new solutions that will help customers embrace digital transformation, since over time, these will lead to more agile and resilient organizations.