Enterprises are increasingly prioritizing legacy modernization, infrastructure management, and IT service management (ITSM) within ITOps, driving demand for generative (Gen) AI-powered solutions in code analysis, log analytics, and application performance monitoring. To address this, service providers are integrating Gen AI and AI agents across infrastructure monitoring, security, and workplace operations. AI agents currently focus on diagnosing IT issues; however, as trust builds, their role will expand to automating issue resolution, and many more IT service deals will feature dedicated Gen AI and AI agent components in the future.
Both demand- and supply-side trends are covered in Avasant’s Intelligent ITOps Services 2024–2025 Market Insights™ and Intelligent ITOps Services 2024–2025 RadarView™, respectively. These reports present a comprehensive study of intelligent ITOps service providers and closely examine the market leaders, innovators, disruptors, and challengers.
We evaluated 40 service providers across three dimensions: practice maturity, partner ecosystem, and investments and innovation. Of the 40 providers, we recognized 25 that brought the most value to the market during the past 12 months.
The report recognizes service providers in four categories:
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- Leaders: Accenture, Capgemini, Cognizant, HCLTech, Infosys, LTIMindtree, TCS, and Wipro
- Innovators: Atos Group, Hexaware, Kyndryl, Microland, Tech Mahindra, and Virtusa
- Disruptors: CGI, DXC, Mphasis, NTT DATA, Persistent Systems, and UST
- Challengers: GS Labs| Gavs, Happiest Minds, Movate, Softtek, and Zensar
Figure 1 below from the full report illustrates these categories:
The reports provide several findings, including the following:
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- Infrastructure management projects rose over 28% in the past year, comprising 18% of total ITOps initiatives. This growth is primarily being driven by high-tech, healthcare, life sciences, and BFSI sectors, which account for 60% of total ITOps implementations, focusing on IT threat observability, infrastructure performance optimization, and cloud cost optimization.
- Legacy modernization, infrastructure management, and IT service management are the top priorities for Gen AI adoption among enterprises, with a focus on code analysis and generation, log analytics and knowledge management, application performance monitoring, and device failure prediction.
- Approximately 16% of IT service deals highlight Gen AI benefits as a separate line item, and 70% continue to bundle these advantages with ML, RPA, intelligent document processing, and so on. The remaining 14% of contracts show a more cautious approach by not leveraging Gen AI and relying on traditional technologies.
- Currently, 90% of use cases for synchronous AI agents focus on diagnosing IT processes rather than automating their resolution. These use cases are still in the experimentation stage.
“Enterprises are scaling ITOps projects with a focus on security, observability, and service reliability,” said Abhisekh Satapathy, lead analyst at Avasant. “In response, service providers and platform vendors are delivering Gen AI-driven solutions for threat detection, infrastructure, and app performance optimization.”
The RadarView also features detailed profiles of 25 service providers, along with their solutions, offerings, and experience in assisting enterprises in their intelligent ITOps journeys.
This Research Byte is a brief overview of Avasant’s Intelligent ITOps Services 2024–2025 Market Insights™ and Intelligent ITOps Services 2024–2025 RadarView™ (click for pricing).