Menu
​Workloads moving to the cloud as enterprise executes on business strategies

​Workloads moving to the cloud as enterprise executes on business strategies

Enterprise IT executives expect 60 per cent of workloads to run in the cloud by 2018.

Enterprise IT executives expect 60 per cent of workloads to run in the cloud by 2018, as organisations reassess business models amidst accelerating adoption levels.

Findings from 451 Research indicates that 41 per cent of all enterprise workloads are currently running in some type of public or private cloud, with enterprises most likely to use on-premises private cloud and software as a service (SaaS), each accounting for 14 per cent of all applications.

According to the analyst firm, usage of on-premises private cloud will remain flat while SaaS is expected to grow sharply to nearly one-quarter (23 per cent) of all enterprise workloads by mid-2018.

But for all the hype and attention associated with infrastructure as a service (IaaS), just six per cent of enterprise workloads are currently running on IaaS, representing a small piece of applications run, and the smallest portion for any public or private cloud type today.

However, findings suggest that IaaS is likely to see the highest growth, with usage predicted to double to 12 per cent of workloads over the next two years.

Supporting the IaaS growth trend, cloud usage is currently strongest in categories that have traditionally been drivers of IaaS adoption, such as web/media (14 per cent) and application development (eight per cent).

Consequently, 451 Research predicts strong growth in critical enterprise workload categories, such as data and analytics and business applications.

Indicative of the early stages of a much larger trend, usage is predicted to more than double, from seven per cent to 16 per cent for data workloads and from four to nine per cent for business applications.

“The predicted doubling of IaaS usage is the highest growth expectation for any type of cloud and points to significant revenue potential for vendors in this space,” 451 Research director, Andrew Reichman, said.

“Because cloud delivers increasing agility and flexibility to better fit ever-changing business needs, IaaS and SaaS allow organisations to focus their efforts on their business, rather than on maintaining costly and complex data centres and infrastructure.

“If used properly, it has the potential to dramatically improve efficiency and results of business technology usage.”

Reichman said cloud-first (an approach where a cloud solution is considered or prioritised for all workload deployments) is common among enterprises, with 38 per cent of respondents saying they have such a policy today.

“The most common triggers for increased cloud usage include events such as mergers, acquisitions and divestitures, along with technology events like hardware refreshes, software upgrades and data centre capacity expansions,” Reichman added.


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags 451 Research

Brand Post

Featured

Slideshows

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards

Hundreds of leaders from the New Zealand IT industry gathered at the Hilton in Auckland on 17 November to celebrate the finest female talent in the Kiwi channel and recognise the winners of the Reseller News Women in ICT Awards (WIICTA) 2020.

The Kiwi channel gathers for the 2020 Reseller News Women in ICT Awards
Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards

Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards

The leading female front runners of the New Zealand ICT industry joined together for the annual Reseller News Women in ICT Awards event at the Hilton in Auckland, during which hundreds of guests celebrated 13 outstanding individuals who won awards, chosen from more than 50 finalists representing over 30 organisations.

Leading female front runners honoured at the 2020 Reseller News Women in ICT Awards
Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners

Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners

More than 500 channel leaders gathered in Auckland on 21 October at the ​Reseller News Innovation Awards ​2020 to celebrate the achievements of the New Zealand technology industry's top partners, start-ups, vendors, distributors and individuals.

Channel gathers to celebrate the Reseller News Innovation Awards 2020 winners
Show Comments