Wednesday, March 23, 2016

Research Shows Every Two Out of Three Enterprises Will Have Rising Cloud Spends in 2016

Cloud computing is said to be on a roll this year and same forecast holds true for various Cloud services providers. It's a promising scene for the Cloud service providers as companies are planning to do more spending on Cloud this year. According to reports, out of the global small & medium enterprises, 66 percent have clarified their plans for more investment in Cloud. More than 300 IT professionals were surveyed, out of which 42 percent are already expecting their Cloud spend to move up in the range of 11-30 percent. Around 27 percent professionals were sure about their Cloud spending remaining almost flat this year while only 6 percent were expecting the investment to decrease in the year 2016.

It can thus be easily predicted that enterprise Cloud service providers have quite promising growth opportunity as they cater to the diverse Cloud related requirements involving file storage & backup, application deployment and disaster recovery. Among the various professionals surveyed, 70, 51 and 62 percent have marked file storage & backup, application deployment and disaster recovery as the key priorities.

A key finding of the research was the connection between the value a company derives from Cloud infrastructure and its corresponding spending on Cloud. It's a direct proportion relation and hence more is the benefit & value an organization gains from the Cloud, more is the amount of investment that the organization prefers to make. In fact, it would be right to say that organizations are deploying Cloud due to its capability of increasing ROI and boosting business.

Another key finding that came out from the survey was that around 53 percent firms approached an external consulting firm for implementing their Cloud infrastructure successfully. However, there are always pros & cons associated with hiring an external consultant and these should be well-taken care of. Among the various service providers, Microsoft Azure (23%) tops the list while Amazon Web Services (22%) comes second, and Google (21%) ranks third, with IBM (17%) not far behind. Overall, it depends on the company's unique requirements because of which they make a selection among these service providers.

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