With business leaders prioritizing their cloud-centric digital infrastructure budgets, cloud services are predominantly showing the way amid the looming economic slowdown.
Cloud services are predominantly driving the way for most organizations in this digital era. Companies are primarily adopting advanced technology and switching to the cloud to sustain in the slowing economy. As a result, business leaders are increasing their cloud-centric digital infrastructure budgets.
In fact, a recent IDC study revealed that the total spending on cloud services would exceed $1 trillion by 2024 – with a CAGR of 15.7%. This is valid for hardware and software components associated with cloud services as well as managed services opportunities.
Jiten Vaidya, Co-founder and CEO of PlanetScale, explained – “Enterprise adoption of cloud will hit a tipping point in 2021 and companies will prioritize vendors with true multi-cloud flexibility, data portability and a strong disaster recovery capability for mission-critical workloads.”
The rapid adoption of the cloud will soon change the market scenario, creating new demands. Jiten also added, “Increasingly, companies won’t want to be stuck using default tools in cloud provider walled gardens, and we’ll begin to see a wider trend of people orchestrating their own cloud infrastructure across many different vendors.”
The industry experts believe this will undoubtedly ease the remote working functionalities – making it more efficient and manageable. Many organizations will continue following the work-from-home model for a long time. Hence, data privacy and network security concerns will remain a significant challenge.
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Certainly, with the rising cloud adoption spanning industries, enterprises are confronting critical trials in terms of compliance and overall business security. According to Amdocs, nearly 60% of companies consider this as their most significant risk linked with future cloud adoption.
Thus, there is most likely to be more cloud breaches. In this context, John Ayers, Chief Strategy Product Officer at Nuspire, cited, “Businesses moved to the cloud, courtesy of the COVID-19 pandemic; however, the increasing confidence in public, private and hybrid data cloud paved the way for new challenges.”
And such concerns will continue to steer more cyber threats. John continued, “Cloud-based security threats owing to misconfigured security measures and lack of monitoring give way for stricter security protocols and security testing features. The rise in cloud adoption means an increase in trust in infrastructure security.”
Keeping these in mind, technology companies globally are actively helping users to migrate to cloud environments while building innovations and combating risks. The advent of consumption-related IT services is intended to power public cloud-based competencies in the on-premises ecosystem.
Clearly, the adoption of cloud services is enabling businesses to shift their IT operations from legacy IT to innovative digital transformation initiatives. This helps reduce complexity and restructuring the cost of enterprises and, ultimately, get more revenue and sales.