U.S. enterprises invest heavily in analytics and AI for data revolution

On January 13, 2025, a research report published by Information Services Group (ISG) highlighted a significant trend among U.S. enterprises in adopting advanced analytics and artificial intelligence (AI) to unlock the full potential of their data. The report specifically underscored that organizations are prioritizing augmented analytics, utilizing AI and machine learning (ML) technologies to automatically discern insights, trends, and patterns within their datasets without manual intervention. This shift is empowering businesses to leverage self-service analytics platforms, low-code/no-code tools, and user-friendly dashboards, enabling non-technical users to engage with data through simple queries powered by natural language processing (NLP). Moreover, the report indicates a growing interest in embedded analytics, which integrates data analysis into daily business operations, thereby making data-driven decision-making a seamless process rather than an isolated task. These developments are primarily fueled by the enterprises’ recognition of the necessity for a robust data strategy and infrastructure to maximize their use of AI. The report also discusses emerging trends in the analytics landscape, such as the increasing adoption of Data Warehouse as a Service (DWaaS) and metadata-driven architectures, which facilitate a clearer understanding of company data assets. With advancements in technology, the demand for sophisticated data solutions is escalating, prompting ISG to evaluate the capabilities of 77 providers across distinct quadrants: Data Science and AI Services, Data Modernization Services, and Advanced BI and Reporting Modernization Services. In identifying key players in this landscape, ISG named NTT DATA as a Rising Star across all three quadrants, indicating its promising portfolio and strong potential for growth. Furthermore, a number of midsize providers, including Apexon, EXL, and HARMAN, have emerged as Leaders across multiple categories, showcasing their competencies in delivering advanced analytics and AI services. Companies like Fractal Analytics and Quantiphi are also recognized as leaders among Specialist providers. Interestingly, DXC Technology received the highest satisfaction scores in ISG’s Voice of the Customer survey, reflecting its strong performance in the technology and business services sector. The detailed insights from the 2024 ISG Provider Lens report aim to assist enterprises in selecting optimal sourcing partners while better equipping ISG’s advisory team to guide clients in this rapidly evolving market.