As enterprises build and modernize cloud and on-premise applications, growing architectural complexities and limited IT landscape visibility are driving a greater focus on Application Management Services (AMS) to ensure smoother modern application operations. Enterprises want to reduce their AMS costs and improve productivity by adopting next-generation technologies such as generative AI and hyperautomation. They are increasingly bundling their run scope with services such as application modernization and infrastructure management to derive more value from their investments. To address these evolving enterprise priorities, providers are expanding their capabilities, strategically partnering with technology providers, and developing proprietary IP to offer differentiated services. Additionally, they are expanding delivery centers and investing in specialized talent to deliver tailored, high-impact solutions that align with enterprises’ unique needs. In this compendium, we provide detailed and fact-based snapshots of 31 global AMS providers featured on Application Management Services (AMS) – Provider Compendium 2025. Each profile offers a comprehensive picture of the provider’s operational overview, delivery presence, solutions and investments, and case studies. Scope All industries and geographies Service: AMS Contents In this report, we provide 31 global AMS providers’ detailed and fact-based snapshots and include: Each provider’s overview and revenue range Adoption by buyer size, industry, and geography Key investments and case studies Proprietary solutions and partnerships Membership(s) Application Services Sourcing and Vendor Management

As enterprises build and modernize cloud and on-premise applications, growing architectural complexities and limited visibility into IT landscapes are driving a greater focus on Application Management Services (AMS) to ensure smoother operations of modern applications. Enterprises are looking to reduce their AMS costs and improve productivity by adopting next-generation technologies such as generative AI. They are increasingly bundling their run scope with other services such as application modernization and infrastructure management to derive more value from their investments. To address these evolving enterprise priorities, providers are expanding their capabilities, forming strategic alliances with technology providers, and developing proprietary IP to offer differentiated services. Additionally, they are expanding delivery centers and investing in specialized talent to deliver tailored, high-impact solutions that align with enterprises’ unique needs. In this report, we assess 30 providers featured on the Application Management Services PEAK Matrix® Assessment 2025 and categorize them as Leaders, Major Contenders, and Aspirants based on their capabilities and offerings. The study will enable buyers to choose the best-fit provider based on their sourcing considerations, while providers will be able to benchmark their performance against each other. Scope All industries and geographies Service: AMS Contents This report features detailed assessments, including strengths and limitations, of 30 providers delivering AMS to mid-market enterprises. Membership(s) Application Services Sourcing and Vendor Management

The application services landscape is transforming, driven by the emergence of AI-powered and data-driven solutions. This shift signifies a notable change within the industry, driven by evolving market trends and an increasing demand for innovative, industry-specific solutions. However, despite generally high levels of satisfaction, enterprises continue to face challenges in fully meeting customer needs. Small and mid-sized providers excel in client engagement and pricing, enhancing satisfaction levels. In this report, we discuss enterprise satisfaction with small and mid-sized application service providers, highlighting strengths, areas for improvement, and the top five emerging providers. Drawing from over 110 interviews conducted between 2021 and 2023, this assessment offers insights into the evolving application services landscape and its emerging participants. By examining buyer experiences, the report provides a comprehensive perspective on small and mid-sized providers. These insights will assist enterprises to make informed decisions and forge strategic partnerships, thereby ensuring they remain competitive in an increasingly dynamic market environment. Scope All industries and geographies Everest Group’s ongoing interactions with enterprises across Everest Group’s PEAK Matrix® assessments in application transformation, low code and quality assurance services between 2021 and 2023 Contents In this report, we feature 29 emerging application service providers and include: A comprehensive overview of enterprise perspectives on small and mid-sized application service providers capabilities An evaluation of enterprise satisfaction levels concerning their chosen application service providers An analysis of the top five emerging application service providers, demonstrating their ability to deliver exceptional value in application transformation, low code development, and quality assurance services across diverse industries and geographies Membership(s) Application Services

Despite generative AI’s decades-long exploration into generating new content, some industry leaders express optimism, while others still navigate the uncharted waters of its potential and grapple with ethical complexities. As enterprises adopt generative AI in innovative ways, we explore the dilemmas they face in balancing productivity gains with creativity enhancement. The tradeoff between individual performance gains and collective creativity loss emerges as a vital consideration, with generative AI offering varying time savings in development tasks. The analysis delves into the nuances of task complexity and developer experience, revealing that complex tasks and experienced developers may benefit less from generative AI. In this report, we explore the multifaceted world of generative AI, tracing its historical roots and examining the current landscape marked by optimism, ethical considerations, and advances in technology. Additionally, the report addresses the promises and concerns associated with generative AI in IT services, emphasizing the need for a balanced approach that combines technology with human involvement to minimize challenges. Successful generative AI adoption relies on well-structured enterprise governance, fostering ongoing innovation and enabling the scaled adoption of generative AI initiatives across the enterprise. In this report, we provide a nuanced understanding of the generative AI landscape, offering insights into its historical context, current challenges, and the transformative potential it holds for innovation across industries. Scope All industries and geographies The report is based on Everest Group’s annual RFI process and an ongoing analysis of the IT services market Contents In this report, we examine: Generative AI adoption across the application life cycle and the Application Management Services (AMS) value chain The importance of fostering ongoing innovation and enabling the scaled adoption of generative AI initiatives across enterprises Integrating technology with human involvement to minimize challenges The correlation between technology’s varying time savings in development tasks and task complexity, along with developer experience Membership(s) Application Services Outsourcing Excellence

The COVID-19 pandemic had slowed enterprise investments in quality initiatives. However, with enterprises increasing their investments in digital technologies over the last year, it has become vital for them to resolve any challenges they face from a quality perspective, such as those related to the capabilities, talent requirements, and scalability of these digital investments. Enterprises should also shift their focus from Quality Assurance (QA) focused on application efficiency to QA focused on business growth to maximize the value from their QA initiatives. Everest Group has identified a 4R approach to help enterprises revamp their QA mandates. The 4R approach will help enterprises expand their scope of QA to include business and value assurance. Scope All industries and geographies Market segment: Application Services (AS) Sources leveraged: analyst inputs, Everest Group research (spanning recruiters, industry experts, and industry associations), ongoing interactions with enterprises and providers, and publicly available data sources Contents In this research, we propose a way forward for enterprises to future-proof their application strategies. We examine: AS market size by geography and industry vertical AS buyer trends by geography, industry vertical, and revenue size Key trends shaping the AS market (focus on QA investments for business growth) Membership (s) Application Services Sourcing and Vendor Management

Enterprises have not focused on application management as a source of digital transformation but as a means to achieve cost savings and run the business. However, as they scale their digital transformation initiatives, they struggle to align their application management portfolios to achieve the intended business outcomes. In this research, Everest Group has enhanced its earlier Business Value Orchestrator (BVO) platform in light of changing business and technology priorities. We recommend that enterprises build a seamless layer of integration, analytics, and business value across their Site Reliability Engineering (SRE), hyper automation, and newer sourcing models. This will need enterprises to invest in next-generation BVO The next-generation BVO goes beyond traditional data aggregation models to build actionable insights. It also brings other IT organizations outside application management to create business value. This report will help enterprises understand how they can transform their application management functions to align with digital initiatives. The research also captures trends for overall IT services markets and application services deals for 2020. Scope All geographies and industries Market segment: application services Sources leveraged: Ongoing interactions with enterprises, year-round tracking of technology vendors and service providers, Everest Group Transaction Intelligence Database, analyst inputs, and other publicly available sources Contents In this research, we recommend a pragmatic method and framework for enterprises to transformation their application management strategies to drive digital transformation. In particular, we focus on: The overall information technology services market size and growth Next-generation application management and its role in digital transformation Key trends in the application services market, including bundling, sources of opportunity, deal details, and scope of services Key buyer adoption trends in application services Membership(s) Application Services Sourcing and Vendor Management

Application services encompasses multiple services across the traditional application life cycle and DevOps, including application development (build), run, quality assurance, and modernization/transformation services. This category strategy template is ready to use, offering editable frameworks for internal assessment and detailed industry and market category overviews to assist category managers, procurement professionals, and CPOs in creating an informed category strategy for application services. The template can be customized by category managers with internal category information, such as spend, suppliers, and subcategory overview. The category manager can also use industry and market insights provided in this template to build a strong supply base understanding. A category strategy’s goal is to create an action plan for effective category management, and this template provides the requisite tools, frameworks, and information to create a robust strategy. Best-in-class procurement organizations effectively leverage such tools and techniques to drive continuous improvements in their categories. Scope All industries and geographies Category in focus: application services Contents In this category strategy, we provide templates based on a four-step process to assist in the creation of a category strategy: Define internal needs: defining category maturity and objectives, creating a buyer profile to gauge the current state of the supply base and predict future demand, and total cost modeling Understand the market: building an understanding of the industry and supply base by evaluating aspects such as market trends, key suppliers, major delivery locations, pricing trends, performance benchmarks, and category risks Determine sourcing strategy: deciding between an in-house versus outsourced model for the category and identifying best practices and value levers to drive category efficiency Create action plan: identifying and prioritizing projects and driving them toward execution

Organizations are leveraging cloud-native application development techniques to improve software development, with focus on development quality, deployment frequency, and quality of software releases, to better align with business objectives. Cloud-native principles have improved the experience of both application end users and application developers. While from a portfolio standpoint, enterprises' application landscape continues to be dominated by monolithic and legacy systems, new applications are increasingly being built on cloud-native principles. Such applications are helping enterprises respond to customer needs and changing business scenarios more efficiently and quickly. This report will help enterprises understand adoption across peers and potential pitfalls in their cloud-native journeys, while recommending key steps that can make them future-ready. The research also captures trends around cloud-native application adoption, preferred cloud platforms, prevalent commercial constructs, and industry-specific use cases across enterprises. Scope Industry: cloud-native application services Sources: data from Everest Group’s annual RFI process for 2020, interactions with leading cloud-native application service providers, client reference checks, and a detailed analysis of the cloud-native application services market Contents This research analyzes the evolving dynamics of the cloud-native application services market, including enterprise demand themes, consumption patterns, and evolving priorities. We have also studied certain areas that need enterprise attention and key tenets responsible for the successful execution of application strategy. Membership(s) Application Services Sourcing and Vendor Management

Application management as a practice area has existed as long as applications. However, the mandate, scope, and value that enterprises demand from services have evolved tremendously over the last few years. The performance of applications is increasingly being equated with the performance of the enterprise and its brand value. To address enterprises' ever-evolving expectations and continuously shrinking budgets, application management services have embraced next-generation operating models to deliver the service and innovative commercial constructs of self-funding digital transformation. In the post-pandemic business scenario, enterprises must shift to next-generation Application Management Services (AMS) to stay competitive. This report examines the dynamics of the global next-generation application management service provider landscape. We present detailed assessments and profiles of 24 next-generation AMS providers featured on Everest Group’s Next-generation Application Management Services PEAK Matrix®. Scope All industries and geographies Contents In this report, we focus on: Everest Group’s PEAK Matrix® evaluation of 24 next-generation AMS providers Key strengths and areas of improvement for each of the 24 next-generation AMS providers featured on the assessment Overview of the providers’ next-generation AMS vision and offerings Assessment of the providers’ delivery capability, investments, and key solutions Membership(s) Application Services Sourcing and Vendor Management

Over the years, application management has evolved as a practice area with changing technologies and enterprise priorities. As with other segments within application services, the focus of application management has been on improving productivity and reducing costs while ensuring that applications are up and running. Next-generation application management is the evolution of traditional Application Management Services (AMS) into more mature service delivery models, newer financial constructs, and evolved governance models, besides more advanced technologies. Enterprises are increasingly demanding next-generation AMS from their service providers to cut the run spend and divert it toward the modernization and creation of new assets. The COVID-19 pandemic has further accelerated AMS adoption, as enterprises increase their focus on hyper automation to become more resilient. This report examines the dynamics of the global next-generation application management service provider landscape. We present detailed assessments and profiles of 24 next-generation application management service providers featured on Everest Group’s Next-generation Application Management Service PEAK Matrix®. Scope All industries and geographies Contents In this report, we focus on: Everest Group’s services PEAK Matrix® evaluation of 24 next-generation AMS providers Characteristics of Leaders, Major Contenders, and Aspirants in the service provider landscape Remarks on the key strengths and areas of improvement for each of the 24 next-generation AMS providers featured in the assessment Membership(s) Application Services Sourcing and Vendor Management