6 Cloud Computing Trends for 2016-18

What Companies Should Know about the Cloud, Today

Nov 05, 2015

Cloud computing is now rapidly coming to the fore, with several companies being increasingly willing to adopt this technology. What was once viewed with much skepticism is now being perceived as a tool to enhance productivity in the office environment. While the cloud may not be the right thing for every company, the technology does present immense benefits for enterprises that know exactly how to go about using it.

Listed below are projected trends in enterprise cloud computing for the coming few years. 

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The Cloud is a Fast-Evolving Technology

Cloud Computing
Image © Lucian Savluc/Flickr. Lucian Savluc/Flickr

According to industry experts, this technology is growing and evolving at a rate far quicker than expected. Enterprises are now more willing than ever to adopt to this way of working. It is expected that the global demand for these services will cross $100 Billion by the year 2017. Until the present time, the SaaS (software-as-a-service) market has been the most popular. It is expected that, by 2018, the cloud will take up over 10 percent of the total enterprise IT expenditure. Both SaaS and IaaS are expected to come to the fore by that time.

It is believed that, while traditional data center workloads will expand to almost double by the year 2018; workloads in cloud data centers will almost triple within that time. That is the projected rate of its growth.

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The Cloud is Changing

Over the past few years, the cloud has changed its licensing and delivery models; thereby emerging as a vital productivity tool for enterprises. While SaaS continues to rise in popularity, IaaS (infrastructure-as-a-service), PaaS (platform-as-a-service) and DBaaS (database-as-a-service) are also being offered to companies. This flexibility is what has driven the present growth in the technology.

At the moment, the demand for IaaS is also starting to rise. Experts believe that over 80 percent of the companies would prefer this service by the end of next year. 

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Enterprises Adopt the Hybrid Cloud

Enterprises now seem to be more open to using the hybrid cloud, which involves both public and private clouds. This appears to be the current trend for companies – those that were going with exclusively private or public clouds now prefer to use a combination of both these services.  However, the adoption rate of the public cloud seems to be much faster than that of the private cloud. 

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Cloud Adoption Reduces Costs

Enterprises have now begun to understand that using the right type of cloud service actually results in a reduction of their overall IT expenses. This is one of the major reasons for the steep increase in the adoption of this technology. Cost control and the convenience of working with data in the cloud is a key factor in driving it ahead.

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AWS is at the Helm

At the moment, AWS (Amazon Web Services) rule the public cloud market – it now has a formidable lead over the rest of the competition. A few companies run Microsoft Azure IaaS and Azure PaaS. 

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SMAC Continues to Grow

SMAC (social, mobile, analytics and cloud) is a technology stack that is steadily continuing to grow. Companies are now willing to allocate funds in order to adopt this technology as well. This, in turn, has resulted in increased investment in cloud computing.