cloud1newWith cloud services now firmly embedded as part of enterprise IT strategies, architectures and resource planning, enterprises are now concentrating on the exact nature of their composition and deployment, according to new market research from Cloud Connect and The Everest Group to be released in full at the Cloud Connect Summit-Interop Las Vegas March 31.

More than 60% of enterprises surveyed reported adopting a hybrid cloud computing model, suggesting a diminution of interest in private cloud services, according to Cloud Connect-Everest Group’s, “Cloud Adoption in the Enterprise: Distilling the Facts from Hype.”

“The new reality our research points to is that the modern enterprise will not be defined by public, private or hybrid but rather all of the above,” Cloud Connect general manager Steve Wylie was quoted in a press release.

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“Companies will be working within very heterogeneous cloud environments putting additional pressure on IT in dealing with these additional complexities.”

Cloud Connect and The Everest Group released some of the report’s highlights:

  • Hype: The CIO role is dead.
  • Fact: While the CIO role and the overall IT organization have been under fire over the last couple of years as cloud has enabled people outside of the CIO/IT organization to source their own technology, more than 75% of the enterprises surveyed believe it’s critical for the cloud services ecosystem.
  • Hype: Cloud is relevant only for technology needs.
  • Fact: Historically, moving to the cloud has been viewed primarily as a technology cost savings – cheaper computing and storage. Today 56% of enterprises consider cloud to be a strategic business differentiator that enables operational excellence and accelerated innovation.
  • Hype: Enterprises are “hardly” spending on cloud.
  • Fact: As the value proposition of cloud is increasingly being realized, the study found that 58% of the enterprises spend more than 10% of their annual IT budgets on cloud services.
  • Hype: Security concerns are a thing of the past.
  • Fact: Enterprises still consider better security and greater control over assets and data to be some of the most important factors in choosing a cloud solution. While this used to mean that they would automatically choose private cloud for security, this scenario is expected to change as public cloud providers are making considerable investments to strengthen their security architecture. Hybrid is expected to be the way forward.
  • Hype: Cloud consumption is simple. External help is not needed.
  • Fact: In actuality, more than 65% of enterprises believe they need help to deploy cloud solutions as most lack the internal IT skills and expertise needed. Most are likely to engage third-party service providers and so it will be important for these providers to adopt a business process approach while assisting in the cloud adoption journey.

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