Cloud Computing: A Short Overview
Cloud computing is one of the top technologies driving the IT revolution in many markets. Whether on the client or vendor side, this is the technology you’ll encounter quite frequently. On the vendor side, for instance, cloud technologies offer storage and data processing services. On the client side, firms are doubling their data footprints every year, meaning that cloud storage solutions once again become invaluable. To reduce costs and increase flexibility, parties on the client end also need data modernization solutions such as AI and analytics algorithms.
In April 2019, Deloitte conducted a survey to find out what business leaders who work and make important IT decisions in some of the top companies in the US think about cloud migration. All the companies selected for the survey had annual revenues above $500 million, with about two-thirds boasting more than $1 billion in annual revenues. Up to 46% of the respondents were C-level executives, 30% were head of business units, and the rest were managers and senior programmers. The findings were as follows.
How popular is cloud computing?
Cloud computing needs no introduction. Already, millions of individual users and the large majority of businesses use cloud services in one way or the other.
The Deloitte study reveals as much. The survey shows that the cloud is already a dominant location for data storage. Over 90% of the surveyed leaders said that cloud platforms are their primary location for data storage. The remaining 10% store their data on-premise. However, nearly all of them have plans to migrate to the cloud.
It’s also worth noting that 57% of the organizations primarily operate from the cloud; all their essential applications and data sit on cloud servers.
What are the drivers for cloud computing?
Here’s where things get interesting. Although it’s possible to pursue data modernization without necessarily jumping on the cloud bandwagon, many organizations migrating to the cloud choose to modernize their data simultaneously. At least 55% of the respondents say that data modernization is one of the main reasons for their cloud migration.
Other drivers for cloud migration, according to the survey, include;
- Security & data protection
- To lower IT operation costs
- Availability of cloud solutions
- Easy access to external data
In a nutshell, cloud providers have stronger capabilities in data management compared to on-site storage. The high-quality algorithms are much more suited to analytics, artificial intelligence (AI), and other big data initiatives.
The Impact of Cloud Computing on Data Modernization
From the findings and ensuing discussions, it’s clear that data modernization and cloud computing cannot be separated. Any data management approach will eventually be modernized, with most of the applications migrated to the cloud.
The study also confirms that both data modernization and cloud computing initiatives are underway in most medium to large companies. The explanation for this trend is that data modernization and cloud computing activities are mutually reinforcing – they support and develop each other.
To summarize, organizations must stop asking whether to modernize their data or adopt cloud computing. You can’t succeed in one without involving the other. Instead, you should embrace both. If factors within your organization lean more towards one, treat it as the primary strategy and embrace the other as a complementary activity. But, you can’t adopt one and avoid the other.
Let UP Help
Unfortunately, there are no shortcuts to cloud migration. In any case, it has to be carried out professionally and with a strategic plan. United Perfectum can help. We have not only human capital but also the tools to implement both data modernization and cloud migration. Contact us today for a consultation.