Cloud computing has proved a highly suitable platform for enterprises of all sizes, belonging to a wide range of industries. It is primarily due its inherent benefits that cloud spending is consistently increasing as a ratio of total IT spending.

Another major reason behind the increasing influence of cloud services is that cloud powered services align really well with the digitalization objectives of organizations in a wide range of industries.

This pattern of cloud spending was revealed in great detail by a recent study conducted by a reputable research firm, International Data Group (IDG). The research is titled, “IDG Cloud Computing Survey 2020”. 

In this post, we will cover some valuable insights from the research and highlight the factors driving the rapid adoption of cloud services. Leading Cloud Service Providers (CSP) like dinCloud also deserve due credit for this pro-cloud spending trend.

Highlights of IDG Cloud Computing Survey 2020

  • In 2020, average cloud spending by enterprises is expected to be around $74 MN, which marks an increase of 59% as compared to the year 2018.
  • 92% of the surveyed enterprises said they rely on the cloud for their IT environments, which include infrastructure, applications as well as data.
  • A majority 54% of enterprises surveyed have moved their applications from on premise environments to the cloud.

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Single Cloud Platform Users

Enterprises belonging to some sectors emphasized the need for a single cloud environment. These sectors included financial services, government, nonprofit and manufacturing establishments.

We can attribute two key factors to this preference for a single Public Cloud Provider (CSP) like dinCloud. Firstly, most of these sectors are heavily regulated. Secondly, the complexity of their operations is most suited for a single cloud infrastructure.

81% Enterprises Use the Cloud in Some Way

A very encouraging stat that emerged from this recent survey is that 81% enterprises rely on the cloud for their applications or other computing infrastructure. 13% of larger enterprises with over one thousand employees have totally migrated to the cloud.

Many of the surveyed entities were in the migration phase towards the cloud. It is expected that within the upcoming eighteen months, the ratio of large enterprises that are entirely functioning over the cloud will reach 22%.

Average Cloud Spending by Large Enterprises Doubles

For the IDG Cloud Computing Survey 2020, enterprises with over 1,000 employees have been classified as large. The average spending by large entities on cloud infrastructure and apps stands at $158 MN, which has nearly doubled when compared to $84 MN last year.

When compared with the total IT budgets for large enterprises, the spending on cloud computing services alone makes up nearly 32%. Since 2018, the average investment on the cloud has increased by 59%, showing confidence of larger enterprises in the cloud.

High Priority Areas in Cloud Adoption

When planning a transition to the cloud, larger enterprises tend to prioritize critical areas of their on premise infrastructure to shift over the cloud. Some of those high priority services and capabilities of the cloud are explained below.

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Disaster Recover (DR)

In the wake of the ongoing global pandemic, disaster recover (DR) has attained one of the top priority areas for enterprises. Cloud Service Providers (CSP) like dinCloud provide a highly robust, available and secure DR apparatus as part of their cloud services.

dinCloud maintains regular backups of critical enterprise data at multiple, physically dispersed data centers. This ensures a very reliable and cost effective mechanism for DR preferences of enterprises, especially the larger ones.

Highly Available Infrastructure

Leading cloud providers like dinCloud strive for uptimes in excess of 99%, which ensures a highly available productivity infrastructure. Couple that with the multi device and multi OS compatibility of cloud services like dinHVD and you have a highly available ecosystem.

Identity and Access Management

Presently, identity theft is a raging issue for large enterprises with many physically dispersed employees. CSPs like dinCloud rely on a two factor authentication (2FA) of each end user before access is granted to data over the cloud infrastructure.

This was cited as one of the high priority areas by large enterprises when transitioning to the cloud. Identity and access management, combined with virtual firewalls, encryption, intrusion detection cum prevention and endpoint security really beef up cyber security.

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Robust Content Delivery

Cloud providers like dinCloud constantly optimize their cloud infrastructure for a seamless and speedy delivery of cloud native applications and data. This was cited as yet another high priority area by large enterprises when moving to the cloud.

The scattered and uncoordinated on premise IT infrastructure of larger enterprises falls short of delivering content to end users at the desired pace. A speedy and robust content delivery is yet another area where cloud services really outperform.

Media Processing Capabilities

The data centers of cloud providers like dinCloud pack a lot of processing muscle. The state of the art cloud infrastructure of dinCloud can easily tackle processing intensive workloads such as CAD, data processing and more.

Enterprises can easily scale their cloud solutions like dinHVD up or down, depending on varying business needs. This not only liberates them from maintaining on premise hardware, but also results in optimal utilization of computing resources.

Cloud Native Enterprise Software

According to the survey, cloud native enterprise software are yet another high priority consideration when moving to the cloud. These software solutions primarily include CRM, ERP, HRM and other similar software solutions that streamline business processes.

Platform and Service Flexibility in Multi Cloud

Integration and compatibility challenges aside, 43% of the surveyed IT decision makers regarded platform and service flexibility as the main driving forces behind multi cloud infrastructures. 39% respondents cited cost saving as a reason for multi cloud options.

Security and Privacy Challenges

Nearly 42% of large scale enterprises declared data privacy and cyber security as the major concerns when migrating to the cloud. These concerns are not ill founded but with a reliable cloud provider like dinCloud, you need not worry about these factors.

dinCloud has an impeccable track record in cyber security, which is constantly being brought in line with the latest cyber security protocols and tools. At dinCloud, we have an elaborate security mechanism at both the data center and endpoint tiers of the cloud.

Conclusion

IDG’s Cloud Computing Survey 2020 comes as a bearer of good news for the cloud industry as well as enterprises planning a transition to the cloud. While some survey aspects focus around large enterprises, cloud solutions such as dinHVD are ideal for SMBs as well.

Small and Medium Businesses (SMB) can equally benefit from the inherent flexibility, instant scalability and multi tier cyber security offered by quality cloud solutions such as dinCloud Hosted Virtual Desktops (dinHVD).

You can Contact Us for any questions you may have about transitioning to the cloud, whether its infrastructure, applications, data or all of these combined.