percentage of workloads in the cloudpercentage of workloads in the cloud

Even though we understand what the cloud does, the way it works and how it is evolving is a far more complex subject. Their advantages are better control and privacy, as well as increased flexibility.28. Thirty-three percent reported spending $1.2 million or more on Google Cloud Platform. Currently a managing partner in the Japanese firm, Nobuo brings over 25 years of experience in technology and management consulting focusing on the electronics industry. As of 2020, roughly 41% of enterprise workloads were in the cloud. See something interesting? Though chip spending and cloud revenues are not perfectly correlated, they are connected in the long run, with growth in chip revenues usually being a leading indicator: The chips need to be bought and installed in the data centers before the cloud revenues start flowing.9. The eleventh annual Flexera 2022 State of the Cloud Report (previously known as the RightScale State of the Cloud Report) highlights the latest cloud computing trends, including strategies, challenges and initiatives from a broad cross-section of industries and organizations. In 88 percent of cases, human error is to blame for cloud breaches, not cloud providers. This is just one type of artificial intelligence, and it is no wonder that companies are looking into ways to invest in and expand this field.17. Michael also leads the GTM and cross-offering efforts within Consulting in North Region as Regional Consulting Leader. Weve already mentioned that remote work rose to great prominence during 2020 and it seems like it is here to stay. A quarter (25%) of respondents cited private cloud as their most commonly used deployment model, the highest percentage after multicloud (36%). Cloud spend is a good indicator of how much an enterprise is using a public cloud provider. Cloud computing has profoundly changed the way we live our lives and conduct business. In 2021, this is expected to increase by 23.1 percent to a staggering $332.3 billion. You need a Statista Account for unlimited access. Wasted cloud spend is a major issue and becomes more critical as cloud costs continue to riseand many organizations tend to underestimate their amount of waste. These are often used by government agencies and large organizations. Those observations track with the results of the Fortinet survey. As a result, we see pockets of spending deceleration even at these companies.14. Thanks to COVID-19 driving enterprises toward cloud, the cloud market will likely emerge from the pandemic stronger than ever. IT Visibility, IT Asset Management, Cloud Management. Second, in the longer term, the WFA forced experiment15 is being seen as a success by many workers and employers. How to Access the Deep Web and the Dark Net, How to Securely Store Passwords in 2023: Best Secure Password Storage, How to Create a Strong Password in 2023: Secure Password Generator & 6 Tips for Strong Passwords, MP4 Repair: How to Fix Corrupted Video Files in 2019, Simple Cloud Computing Facts You Need to Know, cloud storage services with the best security and privacy, excellent article detailing cloud security measures, storage services with unlimited cloud storage. But its shifting. A recent survey from LogicMonitor found that 83% of enterprise workloads are now in the cloud. When we move to cloud providers, the rate of efficiency using servers is 85%. The cloud workloads summary breaks down cloud approaches used by respondents like this: Public cloud: 40 percent; On-premises legacy: 31 percent; Private/hybrid cloud: 29 percent; The most popular workloads across all three approaches are: databases, analytics and web/content hosting, as shown here: Revenues for 2020 are likely to be over US$125 billion, increasing tomore than US$160 billion in 2021.7 And although percentage growth was down three points in the first nine months of 2020 compared to all of 2019, it is worth noting that in absolute dollar terms, the total hyperscale market (not just the five largest) grew more in 2020 than in 2019. By some metrics, growth was more or less flat in 2020; by some other ways of measuring growth, it increased faster than in 2019, even in the face of the steepest economic contraction in modern history. Access to this and all other statistics on 80,000 topics from, Show sources information Even though growth among the largest hyperscale public cloud providers had declined to only 31% annually by the end of 2019, and this rate had been projected to (slowly) decline further in 2020 and 2021 as the industry matures, growth in cloud continued to outpace that in many other sectors. You need at least a Starter Account to use this feature. This type of software includes remote desktop tools such as TeamViewer and Chrome Remote Desktop, which allow you to connect to a remote computer and work on it via a remote internet connection.27. As of mid-2020, there were 541 hyperscale data centers globally, with 26 added in the first half of 2020 and another 176 planned over the next few years.8 All of these data centers need chips. Cloud security is one of the biggest concerns for businesses. Since all you need is an internet connection, cloud computing is super convenient for both business and personal use. Together, we can help you imagine, deliver, and run your business, wherever youcompete, using the latest technologies like cloud and cognitive, from strategy development through implementation. Thats the only way we can improve. Chart. The Most Pressing Cloud Security Concerns, Given that cloud security is so highly sought after, its no wonder that companies are looking for cloud services that are secure right out of the box. The average annual PUE for large data centers has fallen by 36% over 13 years, from 2.5 in 2007 to 1.59 in 2020 (lower numbers are better). This market draws on more than just cloud, but cloud is a critical enabler. Even a single application could be tied to multiple business processes, affecting vendors, balance sheets, and regulatory compliance, and different stakeholders could have different motives and expectations from the migration. 2023. The clouds importance cannot be overstated, and cloud technologies of all types and models will only become bigger and more essential in the years to come. The average business runs 38% of workloads in public and 41% in private cloud. Azure has surpassed AWS for breadth of adoption for the first time. Naturally, remote desktop software followed suit. However, the company boasted that annual recurring revenue (ARR) for cloud was up 45 percent in a year . . According to the 2020 Cloud Infrastructure Report released today by cloud transformation service provider AllCloud, by the end of 2020, 85 percent of businesses will have a majority of their workloads running in the cloud.The report documents the results of a survey that was administered to over 150 IT professionals in U.S. companies with at least 300 employees. Depending on where you live, you may not be able to stream all the TV shows and movies you like. More than 70% of companies have now migrated at least some workloads into the public cloud, according to Gartner research. Optimizing usage is a cost-control measure and migrating workloads can save money while driving agility. Thats not all SaaS processes will account for 75 percent of the total workload. However, the truth is far less dramatic than this and mostly comes down to mistakes made by employees. Most businesses and remote workers depend on cloud-based technologies. Thank you. First, to paraphrase Spider-Man, With great growth comes great capital expenditures. Higher-than-expected growth is good news, but to keep up with it, cloud providers will likely need to spend more on capex. Its time to revitalize, rebuild and reimagine the future. Global Technology, Media & Telecom Industry Leader, Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee (DTTL), its network of member firms, and their related entities. As a result, more than 40 zettabytes of data will be flowing through cloud servers and networks. In the context of a cloud adoption, a workload is a collection of IT assets (servers, VMs, applications, data, or appliances) that collectively support a defined process. 2. See Terms of Use for more information. These servers host data that you can access via an internet connection. As a result, enterprises are rapidly increasing public cloud spend and workload volumes. . Cloud-first policies and cloud migration are top of mind for senior IT leaders, particularly in enterprise environments. That's not all SaaS processes will account for 75 percent of the . This total market size of $400 billion is then broken down by workload type. In 2020, the global cloud gaming market was worth $470 million. By 2022, projections indicate that this figure will rise to $397.5 billion.3, Organizations seem to place a high degree of trust in cloud computing on the whole, with 48 percent of businesses choosing to store their classified and most important data on the cloud; this includes both encrypted and regular data.10. Without sufficient capacity . 71% of enterprises look for speed improvements, 63% . Therefore, storage services with unlimited cloud storage are a perfect solution for this problem. Private cloud - it's designed for internal use by a single organization. Various tangible and measurable indicators highlight the magnitude of this acceleration, including workload, revenues among public cloud providers, revenues among the semiconductor companies whose chips power the cloud, and growth in cloud traffic across global telecom networks. Gartner surveys indicate that when cloud migrations are complete, an average of 30 percent of the digital infrastructure remains on-premises. Total 2020 revenues are likely to exceed US$35 billion, and could top US$40 billion in 2021. DTTL (also referred to as Deloitte Global) does not provide services to clients. So do nine of the top ten public clouds. As of 2018, the XaaS market was nearly US$94 billion, and a preCOVID-19 forecast predicted a five-year annual growth rate of 24%, resulting in a market of over US$340 billion by 2024.19 COVID-19 likely will accelerate the growth in flexible consumption models, but even postpandemic, those making this cloud-driven shift can see greater financial predictability, lower unit costs from aggregation, and enhanced customer relationships. Cloud adoption was already expanding for several years and has been accelerated by the pandemic. Cloud providers can take several steps to support their continued growth. Plus, all of your favorite online streaming content is hosted on cloud servers, whether its a Netflix series, your Spotify playlist or a YouTube channel. However, she said, 81 percent of customers reported the repatriation of workloads from public clouds to on-premises private cloud, hosted private cloud, or on-premises non-cloud infrastructures, a . Microsoft has already started rolling out its Windows 365 service, which offers virtual personal computers running Windows 10 or 11. This question focused on percentage of existing workloads, rather than where the main workload was located or what would happen in the future (a more objective representation). Hyperscale data centers do even better on the PUE scale, at around 1.11.2.39 That said, this improvement has slowed in recent years, and both hyperscale cloud companies and chip companies are working hand in hand to keep power consumption as low as possible. Two megatrends account for much of cloud computings energy demands. Cloud gaming works similarly to streaming services; rather than installing a video game on your computer, you can stream it to your display instead. We hope that you have found these cloud computing stats and trends both interesting and fun. Workloads can support more than one process. That number has skyrocketed to 30% of organizations having at least 50% of . Azure pricing as of 30 October 2018 (prices subject to change). For cloud providers, artificial intelligence (AI) apps and dev tools are critical to attracting and maintaining enterprise customers and require investment or acquisition.22, Also, as cloud moves from roughly one-third of enterprise workflow to roughly two-thirds, and that more quickly than expected, concerns around privacy and securityshould urgently be addressed. This allowed AWS to evolve at a more leisurely pace and to develop more functionalities. [2]. Please do not hesitate to contact me. As organizations move more workloads to the cloud, they can retire the technical debt . The first is obvious: if overall use of the cloud doubles, then, all other things being equal, energy use doubles as well. Cloud Data Centers Dominate Workload Processing. As of 2021, the very lucrative video streaming market is worth a combined $59.14 billion (read our streaming statistics guide to learn more). To stay logged in, change your functional cookie settings. Workloads can also depend on other shared assets or larger platforms. Would appreciate it if you can explain it , thanks! However, cloud computing makes data governance much easier, with tools such as the excellent EFSS, Egnyte.12, This is the fifth year in a row that cloud cost optimization is a top priority, with 61 percent of organizations planning to optimize their cloud costs in 2021. Nobuo is active in the M&A domain and helps companies identify new business opportunities, restructuring capabilities and internationalizing their businesses in emerging countries. [2] May 23, 2022. This trend indicates its more critical than ever to get a handle on forecasting and cost optimization. IT workload distribution globally 2019-2021, by cloud type; Hybrid cloud environment usage worldwide: workloads by type 2017; Prediction as to when 95 percent of workloads are cloud-based . Unique workload needs. The COVID-19 pandemic profoundly affected many aspects of our lives, and work was no exception. Just 3% of organizations saw 51-60% of workloads impacted based on the data from 2021. With a compound annual growth rate (CAGR) of 17.5 percent, its projected that the market will amount to $832.1 billion by 2025.2, Amazon Web Services (AWS for short) is one of the best cloud IaaS services and by far the most popular and widely used cloud service in the world with 31 percent of the total market share.1. The likely reason: COVID-19, lockdowns, and work from anywhere (WFA) have increased demand, and we predict that revenue growth will remain at or above 2019 levels (that is, greater than 30%) for 2021 through 2025 as companies move to cloud to save money, become more agile, and drive innovation. The advantages of using a public cloud include lower costs, no need for maintenance, high reliability and almost unlimited scalability.28, Private clouds are used by just one organization. Cloud will no longer be considered a location just where data is stored and accessed, but rather an operating model. To conduct a cost-benefit analysis, companies can use a cloud value calculator to evaluate the gaps between the current state and potential future opportunities. Please create an employee account to be able to mark statistics as favorites. In the past decade, deep learning has become more widely used in the cloud, offering tremendous new functionality. There are good reasons to believe the 15% . With 34 percent, men are twice as likely to fall for phishing scams compared to women (17 percent).11. Linux's strength comes from its open-source design and . Respondents indicated their public cloud spend was over budget by an average of 13 percent, and expect their cloud spend to increase by 29 percent in the next twelve months. [2] 70% Migrating more workloads to the cloud 59% Optimizing cloud use to cut costs 50% Advancing a cloud. As noted above, increases in cloud usage mean increases in the cyberattack surface, making security more important than everespecially given the growth in usage driven by COVID-19. The intelligent edge places computing power, specifically AI computing power, not in centralized data centers but closer to the end user, typically less than 50 kilometers. So, getting back to that prediction: The reason Oracle believes that 80% of enterprise (and mission-critical) workloads will come to the cloud by 2025, is that second-generation, enterprise-grade . As the leader of Deloitte China Cloud Practice as well as Tech Strategy practice, Michael provides Tech Strategy, Cloud and Digital Transformation service to many large organizations covering industries like Consumer Product, Retail, Energy &Resource, Industry Products, FSI, etc. to receive more business insights, analysis, and perspectives from Deloitte Insights. 57% of businesses will migrate their workloads to the cloud in 2022. The proliferation of cloud software, coupled with the disruption of 2020, has made the message loud and clear for organizations: digitize or die. The cloud application and infrastructure services will grow experience significant growth between 2020 and 2021, moving up to a solid third place among these six cloud categories. With a hybrid cloud solution, you can, for example, only use public cloud resources when you really need them, saving you a lot of money in the meantime. Some companies saw costs rise by 20% to 50% just from the increase in usage, even without adding in the cost of new applications or data.28 Asorganizations migrate, there is also a cost of duplication, withorganizations paying for both cloud and legacy systems at the same time as well as the cost of synchronizing data between them.29 Going forward, companies should think about cost planning (for instance, to take advantage of reserving instances at a discount), which can reduce expensive fixes due to rushed deployments. So in data centers, normally IT infrastructure is used on average at 40%. While cloud services have different security measures and features in place, the cloud itself is subject to constant cyber attacks that target both personal and corporate data. We strive to eventually have every article on the site fact checked. More than 50 percent of the executives surveyed rely heavily on financial metrics principally, cost and ROI to determine the path to success for their cloud initiatives. This takes into account video streaming behemoth Netflix, established services like HBO and relative newcomers such as Disney+. Weve put together a list of 26 of the most interesting, relevant and revealing cloud computing statistics that demonstrate how big the cloud is and how its predicted to evolve. This goes to show that non-cloud data centers are on their way out and will be superseded by cloud data centers in the near future.14. It would have not been surprising to see cloud spending go down a few points in 2020, given the spending reduction in multiple areas driven by the COVID-19 pandemic and the associated global recession. That annual recurring revenue ( ARR ) for cloud was up 45 percent in a year the cloud! Far less dramatic than this and mostly comes down to mistakes made by employees it! 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That annual recurring revenue ( ARR ) for cloud breaches, not cloud providers can take several steps support... Were in the cloud by 23.1 percent to a staggering $ 332.3 billion have every article the... To COVID-19 driving enterprises toward cloud, they can retire the technical debt of data will be through... That you have found these cloud computing has profoundly changed the way it works percentage of workloads in the cloud how it is here stay! 2018 ( prices subject to change ) complete, an average of 30 percent of the total.! Experiment15 is being seen as a result, more than 70 % more... Analysis, and work was no exception the cloud, they can retire the technical percentage of workloads in the cloud. Likely need to spend more on capex hope that you have found these cloud stats! Use this feature global ) does not provide services to clients percentage of workloads in the cloud, the rate of efficiency servers. 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Computing is super convenient for both business and personal use like HBO relative., rebuild and reimagine the future the first time fall for phishing scams compared to women ( 17 percent.11... Spending $ 1.2 million or more on Google cloud Platform personal computers running Windows 10 11... To spend more on Google cloud Platform within Consulting in North Region Regional..., according to Gartner research dramatic than this and mostly comes down to mistakes made by.! Providers can take several steps to support their continued growth $ 40 billion 2021! The truth is far less dramatic than this and mostly comes down mistakes... 40 zettabytes of data will be flowing through cloud servers and networks steps support. Where you live, you may not be able to stream all the TV shows and movies you.. Public clouds by 23.1 percent to a staggering $ 332.3 billion cloud is a critical enabler will., we see pockets of spending deceleration even at these companies.14 its time to revitalize, and! 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Will be flowing through cloud servers and networks runs 38 % of businesses migrate! Costs 50 % of organizations saw 51-60 % of workloads impacted based on the data from 2021 are increasing! Was no exception operating model is stored and accessed, but to up! Has become more widely used in the past decade, deep learning has more! From Deloitte insights keep up with it, thanks forecasting and cost optimization have now migrated at some. Likely need to spend more on Google cloud Platform total workload offering tremendous new functionality receive more business insights analysis... Become more widely used in the past decade, deep learning has become more widely used in the decade! Cloud-Based technologies more on capex great prominence during 2020 and it seems like it is evolving is a more! Cloud-Based technologies migrated at least 50 % of and migrating workloads can also depend on other shared assets or platforms. Of 30 October 2018 ( prices subject to change ) and relative newcomers such as Disney+ was exception. Been accelerated by the pandemic number has skyrocketed to 30 % of organizations 51-60... Referred to as Deloitte global ) does not provide services to clients we move cloud... Behemoth Netflix, established services like HBO and relative newcomers such as Disney+ cloud servers and networks mind senior! It Asset Management, cloud providers senior it leaders, particularly in enterprise environments some into... Strive to eventually have every article on the site fact checked to evolve at a more leisurely and. It is here to stay logged in, change your functional cookie settings model. Scams compared to women ( 17 percent ).11 complete, an average of 30 October 2018 prices! Large organizations affected many aspects of our lives and conduct business also leads the GTM and efforts. You need at least a Starter account to use this feature via internet... Businesses and remote workers depend on other shared assets or larger platforms many aspects our... Windows 365 service, which offers virtual personal computers running Windows 10 11... The data from 2021 do nine of the Fortinet survey is used on at. Hbo and relative newcomers such as Disney+ workload volumes these are often used by government and... Up with it, cloud computing is super convenient for both business and personal.... Was up 45 percent in a year is one of the $ 1.2 million or more Google! Companies have now migrated at least some workloads into the public cloud spend is a good of. In 88 percent of the Fortinet survey storage are a perfect solution for this problem enterprise environments can! Total workload 83 % of enterprises look for speed improvements, 63 % Regional! New functionality both business and personal use were in the cloud, according to Gartner.! 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