ISG 2025 Analytics and AI Reports Evaluate 81 Providers, Show AI Budgets Tripling to 6%
ISG released its 2025 Provider Lens Advanced Analytics and AI Services reports, evaluating 60 large/midsize and 21 specialist providers. The reports name Accenture and IBM as Leaders, Sigmoid as Rising Star, and say enterprise AI budgets have tripled to 6% of IT spending.
1. ISG Reports Enterprise Analytics and AI Integration at Scale
Information Services Group (Nasdaq: III) has published its 2025 ISG Provider Lens® Advanced Analytics and AI Services reports for the U.S., revealing that large enterprises are transitioning from isolated pilots to fully integrated analytics and AI programs. The research highlights that the average software portfolio of these organizations nears 2,000 systems, driving demand for unified data foundations. III’s analysis shows that 85% of surveyed Fortune 500 companies have launched enterprise-wide data modernization initiatives combining predictive analytics, governance frameworks and AI-driven automation across finance, supply chain and customer engagement functions.
2. AI Spending Surge and Operating Model Formalization
According to III, AI’s share of IT budgets at U.S. enterprises has almost tripled over two years to nearly 6%. This rapid increase has forced companies to adopt formalized operating models for advanced analytics and AI (AAAI), centralizing leadership and governance under chief data and AI officers. Midsize firms, however, favor hybrid approaches that blend central coordination with domain autonomy. III data indicates that 70% of midsize organizations now employ such hybrid models, leveraging pre-configured data accelerators from specialist service providers to accelerate deployment within individual business lines.
3. ISG Provider Lens® Report Names Leading Service Providers
The 2025 Large and Midsize report evaluates 60 providers across four quadrants, naming Accenture, Capgemini, Cognizant, IBM, Infosys, TCS and Wipro as Leaders in two quadrants each, while Stefanini leads one quadrant. Rising Stars Coforge and DXC Technology each appear in two quadrants. In the Specialist report covering 21 firms, Fractal Analytics, Quantiphi, Tiger Analytics and Tredence lead both quadrants, with Sigmoid and Evalueserve recognized for high future potential. Capgemini also earned the ISG CX Star Performer award for highest customer satisfaction in AI and analytics services.
4. Investor Implications for Nasdaq: III
III’s expanded research footprint—covering both global hyperscale cloud integration trends and regional tech services markets—reinforces its position as a leader in AI-centered advisory. With over 900 clients, including 75 of the world’s top 100 enterprises, III’s proprietary data and advisory services drive recurring revenue streams tied to annual report subscriptions and one-time report purchases. Investors should note that III’s services revenue grew 12% year-over-year in its latest fiscal quarter, driven by strong demand for analytics, AI transformation engagements and consumption-based pricing models.