Dig Deeper for Cloud Investment Decisions
Seventy-five percent of organizations are now confident in their own security of information assets in the cloud, prompting more organizations to implement cloud solutions. Over the past year, investments in cloud have increased by 10% to an average of $1.5 million according to a recent study by IDG Enterprise on cloud computing trends. Within the next two years, over half of the capital allocated to IT budgets will be spent on cloud computing. The majority of organizations (61%) already have at least a portion of their computing infrastructure in the cloud, with an additional third (29%) anticipating that the majority of their IT operations will be in the cloud within the next five years.
There is no single, overwhelming argument for cloud investments, but the IDG Enterprise Cloud study revealed that some justifications are more effective than others. Both enterprise and small organizations agree that both public and private cloud will provide the opportunity to lower TCO. Faster deployment and saving on capital expenditures are also important when choosing public cloud offerings, while enabling business continuity and replacing on-premise legacy technology are high on the list of reasons to choose private cloud. Although private cloud is the overall preferred model, growth in all models is expected over the next year and a half.
Investments are being driven by computing capabilities that align with business strategy, which include enabling business continuity (43%), improving customer support and services (43%) increasing flexibility to react to changing market conditions (40%) and reducing resource waste (40%). Business leaders view cloud as a game changer for their companies, and believe that it will transform the future of their business. With 59% of organizations still evaluating IT operations that can potentially migrate to the cloud, solution providers have the opportunity to create new partnerships if they address security and organizational savings head on. Half of organizations believe securing information assets stored in the cloud is a shared responsibility between themselves and the cloud provider. Vendors need to be aware of what organizations are looking for and begin conversations by highlighting how they can secure assets and reduce overall organizational costs to make a lasting impression.
IT Marketers: Have you done your due diligence to effectively secure these partnerships?