Technology services have emerged as the backbone of modern enterprises and providers, powering customer engagement, operational agility, and competitive differentiation. As organizations fast-track their digital transformation journeys, the rapid adoption of technologies such as AI, generative AI, ML, blockchain, cybersecurity, and AR/VR continues to reshape industries across the board. The demand for technology-led R&D and innovation is rising sharply, with enterprises, global capability centers, and providers increasingly embedding digital capabilities into their service delivery models. In this fast-evolving landscape, organizations must proactively scale digital solutions to stay ahead of market disruptions and meet growing customer expectations. To remain competitive and future-ready, businesses will need to revisit and refine their location strategies, building delivery portfolios that align with their digital transformation goals. This Everest Group handbook is designed to support organizations in identifying the right global locations to deliver technology services. It presents a comprehensive and multi-dimensional analysis of the relative attractiveness of leading delivery destinations worldwide. At an overall level, this handbook covers the technology services delivery attractiveness on three broad dimensions: • Talent pulse: an assessment of market maturity, entry, and experienced talent-related attributes for technology services • Financial attractiveness: an assessment of the financial attractiveness of locations from an operating cost perspective for delivery of technology services • Enablers: an assessment of enabling drivers, such as infrastructure and digital readiness, essential for technology services delivery

Europe continues to be a strategic hub for global technology services delivery due to its strong technology talent ecosystem, multilingual workforce, and mature digital infrastructure. These strengths make Europe an attractive destination for delivering complex, high-value technology services, despite rising costs and saturation in several tier-1 cities. As demand remains steady in tier-1 locations, global organizations are increasingly exploring tier-2/3 cities as emerging technology hubs. These cities offer moderate cost savings, access to an untapped talent pool, and a steady university graduate base. Improvements in infrastructure and enhanced business environment boost the region’s viability for global delivery. Additionally, tier-2/3 cities serve as strategic spoke locations for business continuity, offering lower competition and supporting risk diversification beyond overleveraged tier-1 hubs. This Everest Group report helps global organizations identify the right European locations to support and drive technology services delivery. It highlights the relative attractiveness of key tier-1 and tier-2/3 locations for supporting technology services using a holistic and multi-faceted assessment.