Louis Columbus of Forbes walks us through several recent studies about enterprise cloud use and overall IT spending. Let’s walk through some of the key findings to learn more about the current enterprise cloud landscape.
The first study he sites is from Oxford Economics and SAP who looked at cloud adoption and use. In terms of adoption, 69% of enterprises plan to make cloud investments in the next 3 years. Many are working to migrate core business functions. Enterprises with cloud are currently using it as follows:
- 44% to launch new business models
- 32% to streamline supply chains
- 29% to manage data and analytics
Mr. Columbus also reported that when compared to past studies, “they found many C- and VP-level executives are taking a more pragmatic, realistic view of what cloud technologies can contribute. Enterprises are moving beyond the hype of cloud computing, putting in the hard work of launching new business models while driving top-line revenue growth.”
An interesting infographic from the article and study showed that 61% expect cloud to help drive new products and services within the next 3 years. 51% expect new lines of business and 40% expect to enter new markets.
Enterprises are also seeing the impacts of their cloud adoption. 31% found the cloud to have a “transformative impact” on their business and 48% have seen performance improvements.
In another article, Mr. Columbus sites that “as enterprise cloud computing adoption matures, investments in application development increase.” The study released by Cowen & Company found IT spending on applications the top priority for 2015. It also predicts that within five years 25% to 49% of enterprise workloads will be in the public cloud.
The rise of enterprise cloud adoption in previous years seems to be now, in 2015, bearing its fruits and allowing CIOs and IT to view cloud use in new ways and apply it to solving new problems.