Does it matter to the everyday CIO that cloud spending at midsized companies west of the Mississippi is going to increase by 15% over the next 3 years? The relevant question isn\u2019t how much will cloud adoption and spending increase, but why will it\u00a0do so? It\u2019s the \u201cwhy\u201d that matters to the business. If you understand the why, it becomes easier to put context around the statistics coming out of these studies. It comes down to a shift in the industry \u2013 a shift in the economics of how a modern day business operates. This shift revolves around the way IT services are being delivered<\/a>.<\/p>\n To figure out where the industry is going, and why spending and adoption are increasing, you need to look at where the industry has come from. The shift from on-premise IT to public cloud began with SaaS based technologies. Companies like Salesforce.com<\/a> realized that organizations were wasting a lot of time and money buying and deploying hardware for their CRM solutions. Why not use the internet to be able to allow organizations to pay a subscription fee instead of owning their entire infrastructure? This, however, was not true cloud computing. Next came IaaS with Amazon\u2019s<\/a> EC3 initiative. Essentially, Amazon realized it had excess compute capacity and decided to rent it out to people who needed the extra space. IaaS put an enormous amount of pressure on corporate IT because App Dev. teams no longer had to wait weeks or months to test and deploy environments. Instead, they could start up right away and become much more efficient. Finally, PaaS came about with initiatives such as Microsoft Azure.<\/p>\n {Free ebook<\/a>: The Evolution of Your Corporate IT Department}<\/em><\/p>\n The old IT paradigm, or a private cloud environment, consists of organizations buying hardware and software and keeping it in their datacenter behind their own firewalls. While a private cloud environment doesn\u2019t need to be fully virtualized, it does need to be automated and very few organizations are actually operating in a true private cloud environment. Ideally, a true private cloud environment<\/a> is supposed to let internal IT compete with public cloud providers by providing a similar amount of speed and agility that a public cloud allows. While the industry is starting to shift towards public cloud, the private cloud is not going away. Public cloud will not be the only way to operate IT, or even the majority of the way, for a long time. This brings us to the hybrid cloud computing model<\/a>; the direct result of this shift. Hybrid cloud is the combination of private and public cloud architectures. It\u2019s about the ability to be able to seamlessly transition workloads between private and public, or, in other words, moving on-premise workloads to rented platforms where you don\u2019t own anything in order to leverage services.<\/p>\n So why are companies shifting towards a hybrid cloud<\/a> model? It all comes down to velocity, agility, efficiency, and elasticity. IT delivery methodology is no longer a technology discussion, but, rather, it\u2019s become a business discussion. CIOs and CFOs are starting to scratch their heads wondering why so much money is being put towards purchasing hardware and software when all they are reading about is cloud this and cloud that.<\/p>\n {Free Whitepaper: Revolutionizing the Way Organizations Manage Hybrid Cloud<\/a> Environments}<\/em><\/p>\n The spending and adoption rates of cloud computing are increasing because the shift in the industry is no longer just talk \u2013 it\u2019s real and it\u2019s here now. The bottom line? We\u2019re past hypothetical discussions. There is a major shift in the industry that business decision makers need to be taking seriously. If you\u2019re not modernizing your IT operations<\/a> by moving towards a hybrid cloud model<\/a>, you\u2019re going to be missing out on the agility and cost savings that can give your organization a substantial competitive advantage.\u00a0 This is why cloud adoption and spending are on the rise. This is why you\u2019re seeing a new study every month on the topic.<\/p>\n By Ben Stephenson, Journey to the Cloud It seems like every week a new study comes out analyzing cloud computing growth. Whether it’s that Public Cloud Services Spending will reach $47.4B in 2013, Global SaaS spending projected to grow from $13.5B in 2011 to $32.8B in 2016, the public cloud services market is forecast to…Read More »<\/a><\/p>\n","protected":false},"author":25,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[104,236,179,183,47,371,55],"tags":[],"class_list":["post-9394","post","type-post","status-publish","format-standard","hentry","category-cloud-computing","category-cloud-management","category-featured","category-hybrid-cloud","category-it-management","category-journey-to-the-cloud","category-saas"],"_links":{"self":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts\/9394","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/users\/25"}],"replies":[{"embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/comments?post=9394"}],"version-history":[{"count":0,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts\/9394\/revisions"}],"wp:attachment":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/media?parent=9394"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/categories?post=9394"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/tags?post=9394"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}<\/img><\/a>
<\/img><\/a>
<\/img><\/a>
<\/img><\/a>\n<\/div>\n
<\/p>\n","protected":false},"excerpt":{"rendered":"