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.

Top Challenges of Cloud Computing

To retain the Advantages over competitors Cloud Service providers has to be innovatively adaptable to the inescapable businesses needs as per the current scenarios. Giant players of this field, like Amazon, Google and Microsoft are adapting to the same expected expression of the market. Business Players have to be adaptive of this pragmatic approach, pushing the limits of the IT infrastructure.  Domain Driven Industries are gaining momentum in the market primarily because for reduced capital expense on innovative and trendy products/services.  

Scalability, Security shields to data breaches, is another factor. Giant Companies like Microsoft is playing pivotal role being cloud services provider, because of the same reasons. Abiding with the need of data storage and processing in petabytes, giant players have to ponder on the compute resources and solution of complex algorithms, as well. In nutshell – to run the analytics on the 3V (Varsity, Velocity, Volume) of data. Market players like Google takes huge lead over amazon, in not only building cloud based datacenters, also, scale-out storage solutions, to meet the affordable bandwidth constraints. 

Trendy Cloud Solutions are expected to the massive CPU cycles, good at meeting deep analytics/computes, mostly, to the dynamic real-time queries. The Biggest Challenge for cloud based IT infrastructure is in resolving cloud based machine learning issues/neural network problems and Artificial Intelligence, On the Data. Therefore, Today’s cloud solutions should expand horizons on add on capabilities, such that customers not only get rid of their internal data centers but, also make their business intelligent. Cloud should breathe an untapped region of Technology / Business, focusing on vertical industries in making more intelligent and specialized applications.