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THE ENTERPRISE SECURITY SUPERSITE. UPDATED ABOUT A MINUTE AGO.
You are here: Home / Security Solutions / IaaS Predictions for the Year Ahead
Infrastructure-as-a-Service Predictions for 2017
Infrastructure-as-a-Service Predictions for 2017
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PUBLISHED:
JANUARY
26
2017

It's likely that your approach to cloud infrastructure adoption was cautious at first. You may have limited your focus to rapid provisioning, or reducing equipment and operational costs.

But the benefits of the cloud have been impossible to resist. It continues to evolve, gaining credibility across every industry. Today, we expect all enterprise systems to have the transformative aspects of the cloud.

You'll see that the infrastructure-as¬a-service (laaS) landscape in 2017 has even more to offer.

1. Cloud-based mission-critical workloads will take off

Cloud has long promised the migration of all enterprise production workloads. But that migration has yet to happen.

The chief barrier to cloud migration remains a lack of commitment and recourse to support production service-level agreements. On one hand, cloud providers are limiting their accountability as they lack the talent to support custom portfolios. On the other, they're failing to provide sufficient control into the public data center to self-manage service-level agreements.

The laaS provider best equipped to take more responsibility and deliver the control tenants demand will be the one to drive cloud migration in 2017.

2. Corporate-owned data center numbers will plummet

Just a few years ago, this statement would have seemed outrageous. But now, it seems all but inevitable.

As organizations focus their IT spending on cloud computing, they'll begin to migrate their workloads from corporate-owned data centers to purpose-built facilities, managed and run by enterprise cloud providers. Mark Hurd predicts that we'll see corporate-owned data center numbers fall 80 percent by 2025, and that the same percentage of IT spending will be devoted to cloud services.

While corporate data center numbers may not fall straight away, we do expect an immediate reduction in direct investment for compute capacity, storage, and networking services.

3. Enterprise cloud becomes the most secure place for IT processing

This year's threat landscape will be highly changeable. External threats -- coupled with the need for better governance and privacy mandates -- will make security a key priority for all lines of business.

In years past, security was a major barrier to cloud investment. Data sovereignty, data privacy, and control issues deterred many organizations from pursuing cloud adoption. But in future, those very same concerns will be the things that draw new organizations to the cloud.

Established cloud vendors with solid security track records have the expertise and resources to deploy layers of defense that many companies simply cannot duplicate in-house.

4. The cloud empowers small business innovation

Cloud has become a catalyst for small business growth, allowing them to innovate freely, carve out new markets, and disrupt the status quo.

The digital economy demands that companies of all sizes compete based on technology-enabled value. While some seek to evolve existing business practices, others are striving to launch new services that exploit extensive, low-cost computational power. Traditionally, access to such high-performance resource has been too expensive for smaller businesses. But what once cost 100 million USD up front is now available for 10 USD per hour.

The cloud is allowing small businesses to innovate, experiment, and sustain ongoing profitability.

5. 60% of IT organizations move systems management to the cloud

Over 90% of companies have multiple systems management tools, but just 6% trust their incomplete data. Consequently, IT operations professionals struggle to create effective management approaches.

The pace of business is increasing. As more organizations adopt DevOps practices and focus on digital experience, they'll need to eliminate management data silos and embrace machine learning just to keep up.

Some have already embraced systems management in the cloud, unifying management data across multiple clouds and on premises. Others are benefiting from data science applied to the operational management problem.

We expect that by 2020, 60% will have moved their most critical systems management use cases to the cloud.

© 2017 Daily Financial Times under contract with NewsEdge/Acquire Media. All rights reserved.
Tell Us What You Think
Comment:

Name:

Ed K:
Posted: 2017-02-14 @ 3:37am PT
Richard Burke: the main benefits of IaaS to an SME are...

Cost: providers have economies of scale and so should be able to deliver your system for less in TCO terms.

Reliability: if you have a hardware failure at 3am there's a fair chance it will get fixed before you even know about it. Also, data centres have redundancy for pretty much everything.

Security: a decent provider will have the sort of security that an SME can only dream of, meaning that your data will be safer.

Richard Burke:
Posted: 2017-02-08 @ 7:47am PT
Very interesting but what benefit will be or need of a benefit be for only home based small businesses.

Rob J:
Posted: 2017-01-30 @ 8:33am PT
Use cases are not what we move to the cloud, they are what we use to justify the move of computing services. A bit confusing there at the end.

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