Cloud Adoption by Enterprise is on the Rise

CloudAlthough slow to join the cloud trend, enterprises are finally warming up to the cloud and have began hosting more of their internal applications and operations on cloud services, according to a report published by Verizon.

The 2013 State of the Enterprise Cloud Report details a number of findings, including:

  • Between January 2012 and June 2013, enterprises have increased their usage of cloud-based memory by 100 percent and their usage of cloud-based storage by 90 percent.
  • The number of deployed virtual machines during the same period only increased by 35 percent; the report attributes this to “increased cloud efficiencies.”
  • 60 percent of enterprise cloud applications are web-based and Internet-facing.
  • The average monthly spend by enterprises for cloud services increased by 45 percent in this time period.
  • The trend toward big data also looks to drive cloud adoption as companies struggle to keep up with the IT resources needed to manage and analyze big data properly.

The large increase in both storage and memory usage indicates that enterprises are using the cloud for more than just development and testing, but also for hosting external-facing and critical business applications.  Currently, production applications account for 60 percent of cloud usage by enterprises.  The report notes that hybrid clouds are popular among enterprises, as many enterprises have specialized security and compliance requirements.  These types of regulations are most common in healthcare and financial industries.

Those surveyed for the report were also asked to rate cloud characteristics by importance. The majority listed uptime as the most important characteristic of cloud services, which is logical given how many enterprises are now moving critical business applications to the cloud.  Even a few minutes of downtime could potentially be disastrous.

Uptime is followed by performance (speed of processing, storage and network resources) when rating importance. In third place those surveyed listed user interface, and in fourth place they listed API (design, features available and application programming interface).

The ever-increasing number of enterprise cloud user success stories is sure to be a great example for those holding off on joining the cloud or still only use the cloud for less critical applications. We are confident that enterprise cloud adoption and usage has reached the point of no return.  Onlookers are witnessing their peers experience the benefits of migrating critical applications to the cloud, and are on the look out for able cloud providers as we speak.

Has your enterprise company adopted the cloud?  What applications have they migrated to the cloud?  Or are they still holding off? Let us know in the comments.