Upcoming Webinar Offers Update on the State of the Cloud
Spending on new cloud infrastructure services grew 52.3 percent between the second quarter of 2015 and the same quarter this year, when it hit $9.5 billion, according to new data from research group Canalys.
The cloud has enabled enterprises and small and medium businesses to more easily and affordably acquire the communications and computing resources they need to be more competitive. That’s because the cloud allows for shared but secure resources in multi-party environments. With the cloud, everybody wins, given the decreased strain on users’ IT departments; just-in-time scalability; and, according to some sources, lower costs. But the argument for moving to the cloud is less about actual cost savings and more about the ability to quickly and easily spin up the necessary resources to support new services.
According to the Worldwide Semiannual Public Cloud Services Spending Guide published by International Data Corp., worldwide revenues from public cloud services are expected to reach more than $195 billion in 2020.
“Cloud software will significantly outpace traditional software product delivery over the next five years, growing nearly three times faster than the software market as a whole and becoming the significant growth driver to all functional software markets,” said Benjamin McGrath, senior research analyst for SaaS and business models at IDC. “By 2020, about half of all new business software purchases will be of service-enabled software, and cloud software will constitute more than a quarter of all software sold.”
What belongs on the public cloud and what functionality is better kept in private clouds is one of the key considerations many businesses are facing today as they move to adopt or expand their adoption of cloud technology. The answer varies depending upon the organization, of course, but many businesses are opting to use both.
Indeed, 50 percent of enterprises will have hybrid clouds by 2017, according to the Global Hybrid Cloud Services Market 2016-2020 study by Technavio.
Costs, migration and monitoring in the past were much greater challenges for those businesses that considered and/or employed cloud services, but now hybrid cloud services enable small and medium enterprises to put most of their services on the cloud and still maintain some key legacy applications, the study notes.
To learn more about the latest on the cloud, check out the upcoming webinar “The State of the Cloud in 2016” on Sept. 14 at 11 a.m. Eastern/8 a.m. Pacific with featured speaker Paul Timmerman, CTO and senior vice president of business management at Rolta AdvizeX.
Edited by Alicia Young