To help plan your tech service costs for 2025, it’s important to look back at technology expense management (TEM) lessons learned from 2024.
SpyGlass shares our top 2024 TEM takeaways to inform your planning and budgeting efforts for the year ahead.
Top 5 Trends and Predictions from 2024 ✅
Cloud Computing We predicted a massive increase in cloud spending, and that prediction was accurate across nearly every industry, with cloud computing expected to top $805 billion worldwide in 2024.
✅ Cloud spending continues to be explosive. As companies transition to hybrid and multi-cloud environments, many struggle to manage cloud spend and gauge their ROI. The result? Wasted resources and missed opportunities, making budgeting and spending for cloud computing a high priority in 2025 and beyond.
Proactive FinOps Solutions With massive increases in cloud spending comes the need for a better and deeper understanding to properly control costs. In 2024, we predicted companies would invest in more FinOps (Finance + DevOps) solutions to solve tech cost challenges.
✅ We see more opportunity here for data-driven, cross-collaborative decisions. In our expense auditing efforts nationwide, we repeatedly find companies increasing cloud spending but buying more than they need or paying for services they already have. Smarter FinOps spending should be a higher priority in 2025.
Tech Redundancies and Inefficiencies 2024 was the year of smart tech stack funding to eliminate spending on duplicative or redundant services. From amping up the cloud and replacing old tech including costly POTS landlines, to adding generative Artificial Intelligence (gen AI) tools, it’s imperative to be smarter about funding your tech stack.
✅ We saw companies that scrutinized their IT spending through services like a SnapShot Audit realized savings by optimizing their supply chain, cutting unnecessary services, and automating repetitive tasks.
Obsolete Technology Costs Outdated systems and legacy technology are not just a drag on efficiency; they can compromise your computing environment, which can be incredibly costly. In 2024, we predicted that more companies would look to unload the dead weight of old, outdated systems while improving and strengthening their cybersecurity environment.
✅ Additional opportunities throughout 2025 also exist here. Case in point: SpyGlass finds tech service savings opportunities in 99% of engagements, illustrating more work to be done in this area.
Drive Value: Review Your Digital Transformation The last year put a high priority on investing in tools and technology. As a result, many organizations invested heavily in software-as-a-service licenses — such as Zoom, HubSpot, and Microsoft 365 — to improve business operations. But a recent report shows that, on average, companies use only about half of the software licenses they have purchased.
✅ SaaS licenses will continue to be a high priority in 2025. But proactive tech cost management through an audit will be a priority, particularly as companies look to reduce spending and tighten budgets. As the telecom and technology services industry evolves, SpyGlass recommends a repeat audit two years after the completion of the prior audit.
Planning for a Profitable New Year
Conduct a Technology Audit Identify outdated systems and their operational impact. SpyGlass’s SnapShot Audit provides a comprehensive, detailed assessment of your telecom and technology expenses, uncovering potential savings and ensuring optimal contract terms.
Evaluate Risks and Costs Analyze the risks of maintaining obsolete technology, like security vulnerabilities and inefficiencies. Compare against the costs of upgrading.
Develop a Modernization Strategy Create a plan to phase out outdated technology and replace it with modern solutions. Prioritize upgrades with the highest ROI in security, efficiency, and cost savings.
Seek Expert Guidance Work with a technology expense management (TEM) firm like SpyGlass who can provide valuable insights and guidance. SpyGlass offers detailed audits and proactive cost management strategies to help businesses optimize their tech spend and avoid obsolescence.
Implement Preventative Maintenance Adopt a proactive approach to maintenance with services like SpyCare, which gives you the tools to maintain your initial SnapShot optimization while identifying and preventing future waste.
Clear the Cobwebs and Control Costs in 2025
Our powerful technology expense SnapShot Audit specializes in finding errors, overcharges, and inefficiencies in bills, contracts, usage reports, and customer service records to help you avoid telecom billing overcharges. In addition, our technology service expense database offers industry-best practices to empower decisions around technology services budget.
Transform your business through smarter tech spending.
