Thursday, October 19, 2017

Voice of the Enterprise. Only 2 in 10 organisations have a cloud-first strategy

Recent figures also confirm Microsoft Azure emergence as the big challenger to AWS cloud dominance.

In one of the largest cloud surveys of the year, it has been exposed that only 22% of enterprises have adopted a cloud-first approach.

The survey of 50,000 IT buyers by 451 Research has also found that infrastructure as a service (IaaS)/public cloud is the fastest-growing cloud model within those with a cloud-first strategy.

Yet, in the “Voice of the Enterprise (VotE): Cloud Transformation” study report, 80% of respondents said that over the next five years their IT environments require moderate or significant transformation to meet business requirements.

Those surveyed also expressed concern about service providers’ perceived ability to align IT and business requirements, “noting that there is scope for a better understanding of the customers’ businesses to support IT service delivery,” 451 Research noted.

The survey has also shown that organisations gave IaaS providers lower ratings on service-delivery factors such as understanding business requirements, multi-cloud/hybrid cloud support and enterprise-level customer support.

451 Research’s study has also confirmed what previously has been said by Pacific Crest Securities: the gap between AWS’s dominance is narrowing as runner-up Microsoft’s Azure cloud grows its momentum.

Of respondents surveyed, 55.8% said they are using AWS for IaaS.

In the report it reads: “Many organisations use multiple IaaS providers and Microsoft Azure is emerging as a formidable challenger, closing the market adoption gap with AWS.

“While AWS remains the top pick as respondents’ most important IaaS provider (39%), nearly 35% of respondents named Microsoft their most important IaaS provider, up from 20.2% in the previous survey.”

For the first time, AWS’s customer ratings fell behind those of other IaaS providers on ‘value for money/cost,’ where Google Cloud Platform was rated highest, and ‘understands my business,’ where IBM/SoftLayer and Microsoft Azure obtained higher scores.

Melanie Posey, Research Vice President and lead analyst for 451’s study, said: “As organisations implement IT transformation in earnest, they are increasingly relying on strategic partners for operational assistance.

“Those IaaS service providers who position infrastructure and technological innovation alongside meeting business requirements will be best positioned to capitalize on this market opportunity.

“It will be interesting to assess the impact of Azure Stack (scheduled for launch by mid-2017) on Microsoft’s overall positioning and individual attribute ratings for multi-cloud/hybrid support, as well as technical expertise and innovation.”