A look at the cloud in 2017: Cloud spending, vendor lock-in concerns on the rise

By Teri Francis July 5, 2017

For years, we’ve seen the cloud drive change in enterprises and accelerate the pace of innovation. At this year’s Code Conference, Mary Meeker made it clear that not only is cloud adoption continuing to pick up momentum, but user perceptions around and expectations of the cloud are undergoing a massive shift, too.

That was all part of Mary’s Internet Trends 2017 presentation. Here were some of the highlights on the direction the cloud and its userbase are moving in, this year and beyond.

Cloud is closing the spending gap with data centers

In just over three years, cloud has made a significant jump forward in its share of global IT infrastructure spend. This year, cloud comprises over one-third (37 percent) of IT infrastructure costs, a 60 percent jump from its 2013 share, and now totals $36 billion. That’s cut down the traditional data center’s lead from 76 percent to 63 percent.

To be clear, data centers are still on top here. But, just as clearly, is that the growing popularity of cloud platforms has sparked a surge in adoption rates, with organizations recognizing the need to allocate greater shares of their IT budgets to public and/or private clouds to accommodate everything from storage needs to disaster recovery strategies.

Concern about vendor lock-in skyrockets

One of the most noteworthy developments in the cloud world has been the shift in user priorities, just over the span of a couple years. From 2012 to 2015, data security topped out as IT organizations’ number one concern regarding the cloud. But, the proportion of organizations that regarded data security as such a top issue fell sharply, from 42 percent down to 35 percent, by 2015.

A look at the cloud in 2017: Cloud spending, vendor lock-in concerns on the riseThe biggest development came on the issue of vendor lock-in. In 2012, it was barely on the map, mentioned as a top concern by just 7 percent of organizations. Three years later, concerns about cloud vendor lock-in skyrocketed to 22 percent, to round out the overall top three concerns cited. With a drop in the data security figures and only a modest uptick on governance and compliance concerns (ranked second in that top three), it is vendor lock-in that has emerged as the fastest growing issue that enterprises are citing regarding the cloud – demonstrating that the possibility of being stuck with one platform and whatever its limitations may be is a very real fear for many cloud-adopting organizations.

And, that’s exactly the kind of concern that Console Connect’s latest solution, CloudNexus, is designed to circumvent. With true cloud-to-cloud connectivity, CloudNexus enables enterprises to shift workloads across public and private clouds alike, without having to rely on the vulnerable hub-and-spoke connectivity model or without having to facilitate these connections across an unreliable, unsecure public internet. No more vendor lock-in, no more being stuck in one platform; move workloads from one cloud to the next whenever you want.

As enterprises continue to shift more of their resources to the cloud, CloudNexus allows those organizations to leverage all the benefits of their public and private platforms, without having to feel limited by vendor lock-in. To try it out for yourself, sign up for a free, 30-day trial of the Console Platform today.

 

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About Teri Francis

Teri Francis is senior vice president and chief product officer, responsible for the overall product strategy, management, design, and innovative vision of the Console platform. She has over 20 years of diverse experience in networking, cloud, and data center technologies. Read more