Yesterday, Verizon released its State of the Market: Enterprise Cloud 2016 report. This third annual report provides original data and analysis of cloud usage within the enterprise, and its impact on IT organizations and businesses at large.
Key findings of this report include:
- Cloud use in the enterprise continues to grow. Eighty-four percent of enterprises responded that their cloud use has increased in the past year. Half of enterprises say they will use cloud for at least 75 percent of their workloads by 2018.
- Cloud supports mission critical workloads. Eighty-seven percent of enterprises use cloud for mission critical workloads. This is up from 60 percent cited in the company’s first report.
- No one cloud fits all. More than half (53 percent) of enterprises use two to four cloud providers. Twenty-six percent of respondents use more than 10. Enterprises are embracing a multi-cloud strategy.
The Datapipe Take Away:
As advances in technology continue to decrease the barrier of entry into the cloud market and narrow the price difference between public and private cloud, more and more enterprises will adopt hybrid cloud solutions. According to the Verizon report, nearly 50 percent of enterprises currently use a mix of public cloud, private cloud and traditional IT resources; and 48 percent have workload portability across public and private cloud resources. Additionally, as businesses are becoming more global, the demand for enterprise-level hybrid cloud solutions will only increase further. From our perspective, this is causing an industry shift toward a cloud-agnostic, global Managed Service Provider (MSP) business model.
Fortunately, we saw this shift coming and, in addition to our hosted private cloud solutions, we have been providing managed services for AWS since 2010 and were the first to offer managed services for Azure. But why is this important? Customers need to be assured their IT services provider can handle an entire scope of platforms –whether they want a private, public or a mix of hybrid cloud environments across AWS, Microsoft Azure, VMware, etc. With a cloud-agnostic MSP, IT leaders can be assured their IT partner is continuously searching for and identifying the best technologies across a range of providers at any given time. Reports like this make it clear that this type of client-centric, solution-focused MSP model is the future of cloud computing.