Technology consulting & services: the investment opportunity
Technology services firms entered 2025 with renewed momentum after a period of disruption.
While the sector continues to face macroeconomic and political uncertainty, there are clear signs of recovery – underpinned by resurgent client demand, rapid innovation in AI and accelerating investment in global delivery and data-led propositions.
To assess market sentiment and strategy, CIL – alongside JEGI LEONIS – interviewed senior leaders from U.S.-based technology services firms. The findings point to a sector reorienting around differentiation, scalability and value creation.
Key trends include:
- AI moving from buzz to deployment: While monetization remains uneven, most firms are investing aggressively – both internally and with their clients – to build AI-enabled capabilities and accelerate delivery.
- Margin pressure sharpening operational focus: Firms are deploying a range of levers, from off/nearshore models to automation and value-based pricing, in pursuit of improved unit economics.
- Verticalization and recurring revenues as growth catalysts: Specialization, ecosystem alignment and managed services are emerging as key drivers of resilience and premium valuations.
- M&A back on the agenda: With valuation expectations resetting, acquisitive growth is set to play a major role in 2025 – particularly among firms seeking strategic capabilities in data, advisory and AI.
This insight explores how leading technology consulting and services firms are navigating the current cycle – adapting to disruption, redefining value and positioning for scalable, sustainable growth.
