percentage of workloads in the cloud

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. 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. Then you can access your favorite statistics via the star in the header. As articulated by Healthcare IT News: While cloud computing better optimizes the use of resources in health care, it also creates significant risks. However, two factors suggest that this decline in growth could be less than expected. Another goal for cloud providers is to develop vertical-specific apps that must reside at the edge due to latency requirements and other factors. Your email address will not be published. A simple process could often turn into a fog of conflicting goals, broken dependencies, and cost overruns. Naturally, remote desktop software followed suit. As a result, we see pockets of spending deceleration even at these companies.14. 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. Linux's strength comes from its open-source design and . When we move to cloud providers, the rate of efficiency using servers is 85%. Organizations are moving to the cloud because of its scalability, economy and reachand theyre using a variety of metrics to measure its resulting business value. Balancing on-premises and cloud workloads On-Premises vs. You need at least a Starter Account to use this feature. As an example, Siemens is allowing employees to WFA, where feasible and reasonable, two to three days per week going forward; this policy applies to more than 140,000 employees at about 125 locations in 43 countries.16 Continuing or growing WFA arrangements such as this could strengthen ongoing demand for cloud. 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). Cloud tools have . As a note, many cloud forecasts are black boxes, based on proprietary information that cannot be replicated.5 However, metrics such as hyperscale cloud revenues, data center chip revenues, and cloud traffic are all publicly available, and anyone can reproduce our work and see the same trends. Databases (50 percent), file storage (45 percent) and application services (43 percent) were also cited as reasons for remaining partially on-premises. A cloud workload is essentially a resource or service consuming computing power in the cloud. Quarterly smartphone market share worldwide by vendor 2009-2022, Apple iPhone unit sales worldwide 2007-2018, by quarter, Global market share held by smartphone operating systems 2009-2018, by quarter, Virtual reality (VR) - statistics & facts, Research expert covering the consumer electronics industry, Profit from additional features with an Employee Account. Basically, the only difference is who owns the infrastructure. The two largest hyperscale providers accounted for 78% of all revenues among the top five hyperscale providers in 2019, and the largest chip company accounted for 82% of total data center semiconductor revenue in the same year.17 At least so far, the effect of COVID-19 has not led to increasing concentration; indeed, the leading hyperscale providers market share declined slightly (bytwo to seven percentage points) during the pandemic-related surge in cloud growth. Its huge. Private cloud-only usage also rose during the past year, albeit slightly, from about 23% in 2020 to 25% in 2021. Cloud providers can take several steps to support their continued growth. The five largest hyperscale public cloud providers that disclose segmented revenues saw their combined revenues grow by 31% in 2019 to US$94 billion. [2]. SMBs run fewer and smaller workloads, so it stands to reason their cloud bills would also be lower. See: Netflix. Cloud Workloads. This way, if one of the services is unavailable for whatever reason, the organization can switch to a working backup for disaster recovery. 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. [2] Cloud Data Centers Dominate Workload Processing. By 2020, the percentage of workloads in the cloud is expected to be 83%, the latest cloud computing statistics reveal. Consequently, several noteworthy cloud computing trends have emerged, so let us take a look at their impact and development. Thank you for sharing this great article! For their part, cloud users should consider the following factors as they continue to migrate to cloud: The cloud migration strategy. This statistic offers a forecast of cloud workloads as a percentage of total data center workloads, from 2011 to 2021. Over time, more specialized AI-specific kinds of chips were put into data centers: graphics processing units (GPUs, used for both training and inference), field programmable gate arrays (FPGAs, mainly used for inference), and application-specific integrated circuits (ASICs, used for both training and inference. The changes that Gartner says are on the horizon will mean major shifts in the way the world does business over the next few years, the results of which Gartner said will be more than 85% of . Many pundits as well as organizations, such as the World Economic Forum34 and the OECD,35 have called for a green reset following COVID-19. This adoption has been trending for a reason, as there are many . What is your opinion on cloud computing? The survey also posed to 600 medium to large organizations what percentage of infrastructure operations belonged to: On-premises legacy environments; Public cloud workloads; Private or hybrid cloud workloads Even if we disregard these, current cloud computing stats speak volumes about the state of cloud computing and where its headed. 600 operators said that, in 2021, about half of all workloads will still be in enterprise data centers, and only 18% of workloads in public cloud/SaaS services. [2] According to European organizations, migrating more workloads to the cloud is the most important cloud initiative. As a result, more than 40 zettabytes of data will be flowing through cloud servers and networks. Today, a state-of-the-art 10-nanometer (nm) semiconductor device fabrication node is about 2030 times more power-efficient than a 90-nm node from 15 years ago.42 Over time, we expect data center chips to keep becoming still more efficient. Cloud adoption was already expanding for several years and has been accelerated by the pandemic. So in data centers, normally IT infrastructure is used on average at 40%. Michael also lead the Strategic Alliance with digital giants including AWS, Alibaba, Huawei, etc. 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. Respondents self-estimated that their organizations waste 32 percent of cloud spend, which is up from 30 percent last year. ", Vendor market share in cloud infrastructure services market worldwide 2017-2022, Amazon Web Services: quarterly revenue 2014-2022, Public cloud services market size 2017-2023, Revenue of Salesforce.com broken down by cloud service 2015-2022. Public clouds are owned and operated by third-party service providers and are the most common. The bottom line: while cloud security is paramount for any organization regardless of size, proper employee training and strict security guidelines are just as important. 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. Cybersecurity Insiders, and Fortinet. A new study from the Cloud Security Alliance (CSA) and cloud security company AlgoSec finds that over half of organizations are running 41 percent or more of their workloads in public clouds . 80 percent of cloud management efforts will support 20 percent of the service incidents or trouble tickets. In 2021, 63 percent of respondents expect to be running 41 percent or more of their workloads in public cloud, indicating that adoption of public cloud will only continue. This market draws on more than just cloud, but cloud is a critical enabler. In fact, 76 percent measure their cloud progress according to cost efficiency and the savings they made thanks to cloud. This allowed AWS to evolve at a more leisurely pace and to develop more functionalities. In just the first four months of 2020, the value of completed data center acquisitions, at US$7.5 billion in only 28 deals, was greater than in all of 2019.13, Although cloud is growing rapidly overall, it serves multiple industries, many of which have cut spending sharply. Much like the practical use of "workload" in other realms, it is focused primarily on the work itself, and what is used to achieve the work. Patrick lives with his wife and daughter in Denver, where they are active in the community and enjoy the Colorado outdoors. According to cybersecurity experts, the most pressing cloud security challenges are misconfiguration of the cloud infrastructure (68 percent); unauthorized access (58 percent); insecure API (52 percent); accounts, services or traffic hijacking (50 percent) and external data sharing (43 percent).8. So do nine of the top ten public clouds. IT Visibility, IT Asset Management, Cloud Management. But I have one question though, in the diagram of part5, how is the data calculated, or measured? On-premise versus cloud workload. If you are interested in learning more about these terms, we invite you to read our cloud terminologies article, which explains how they function in greater detail. Highlights include: May 31, 2021. But even though many organizations will retain at least some on-premise resources, and even in current economic conditions, cloud providers have much to look forward to as migration to the cloud accelerates. However, providers frequently change aspects of their services, so if you see an inaccuracy in a fact-checked article, please email us at feedback[at]cloudwards[dot]net. Clearly, hybrid cloud is the new normal. And not only are edge AI chips relatively efficient already, but they are progressing rapidly, with one company announcing that its current edge AI solution is 25 times more efficient than last years model.47. As mentioned, Linux runs 90 percent of the public cloud workload. According to a March 2020 report, more than 90% of global enterprises will rely on hybrid cloud by 2022.3 Another survey from the same month found that 97% of IT managers planned to distribute workloads across two or more clouds in order to maximize resilience, meet regulatory and compliance requirements, and leverage best-of-breed services from different providers.4. Sixty-eight percent of the CIOs ranked migrating to the public cloud and/or expanding private cloud as the top IT spending driver in 2020, up 20 points from a similar survey only six months earlier. This includes cloud storage providers like Sync.com and pCloud, as well as large platforms like Microsoft Azure. One thing fueling the drive to the cloud is the explosion in SaaS workloads. A . But the company managed to double its public cloud revenue to $202 million for calendar 2021, although the majority of its business remained on-prem. To get through the next 80 percent of the cloud journey, teams should manage complexities that the basic cloud model doesn't address. In recent years, this percentage has continued to increase. Well be looking at 26 of the most interesting, relevant and game-changing stats all across the industry, from cloud adoption rates and security concerns, to enterprise infrastructure, cloud computing spending and much more. Beena Ammanath, Susanne Hupfer, and David Jarvis. 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. Workloads can also depend on other shared assets or larger platforms. In fact, just over half of businesses (52 percent) prefer cloud solutions that have their own native security tools.8, When we think of cyberattacks, we often picture hackers exploiting built-in cloud IT infrastructure weaknesses. As organizations move more workloads to the cloud, they can retire the technical debt . An overwhelming majority of enterprises continue to move workloads from the cloud back to on-premises data centers, although it is a smaller percentage than before, according to IDG research. One way that hyperscalers can deal with both data transfer and app development is through partnerships.25. Sixty-two percent of respondents use more than one cloud provider, and the diversity of production workloads (e.g. If you are looking to make your cloud migration process a lot easier and even automate it to a great extent, we invite you to check out our list of the best cloud-to-cloud management services. Survey respondents ranked data warehouse, relational database as a service (DBaaS) and container-as-a-service (CaaS) in the top three. In 88 percent of cases, human error is to blame for cloud breaches, not cloud providers. Cloud computing output rose by 600% between 2010 and 2018, while its energy use rose only 6%.36. Growth in cloud computing has been a megatrend over the last decade, with the market experiencing triple-digit annual growth as recently as 2015. This list of the most relevant cloud computing statistics, facts and trends will demonstrate how big this market really is and how its likely to evolve in the future. 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. 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. A paid subscription is required for full access. Cloud-first policies and cloud migration are top of mind for senior IT leaders, particularly in enterprise environments. Flexera One is a Digital Platform Conductorbut whats that? More than 70% of companies have now migrated at least some workloads into the public cloud, according to Gartner research. Chart. However, not just any VPN will suffice check out our best VPN for Netflix and how to watch Disney+ outside the U.S. articles to find out which VPNs will do the trick (we also have a VPN statistics article). Because theCloudwards.netteam is committed to delivering accurate content, we implemented an additional fact-checking step to our editorial process. Its time to revitalize, rebuild and reimagine the future. 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. Going forward, cloud can support benefits including collaboration, automation, scale, innovation, and agility.31 For example, with regard to innovation, two-thirds of respondents in a 2018 Deloitte survey said that cloud fully allowed them access to the newest technologies.32 Another study showed that 93% of companies surveyed used the cloud for some or all of their AI needs, requiring less investment in infrastructure and expertise.33. Workload operations should . Business owners lament the fact that around 30 percent of their cloud budget goes to waste. 57% of businesses will migrate their workloads to the cloud in 2022. In fact, according to the survey, 27 percent of organizations already have moved, or plan to move, apps/workloads from the cloud back on-prem, a retrograde maneuver known as repatriation. The likely reason: increased demand driven by COVID-19, lockdowns, and work from anywhere. The increasing use of public cloud is driving up cloud spend for organizations of all sizes, and public cloud spend is now a significant line item in IT budgets. Cybersecurity Insiders, & Fortinet. One of the best CRMs, Salesforce has a market capitalization of more than $200 billion.18 However, the company that arguably profited the most in the wake of the COVID-19 pandemic is the video conferencing service Zoom. In its Q4 2022 results, total revenue fell to $452 million, down 5 percent on a year earlier. By 2021, 33% of surveyed enterprises were running over 50% of their workloads on the cloud, indicating that this trend will continue to increase over time. . In calendar Q2, growth showed a 25% year-over-year increase, which rose slightly to 27% in calendar Q3, resulting in a 28% growth rate over the first nine months of the year. Looking at the global cloud market by region, North America is leading the race, with 61 percent of the market total in 2020. By 2021, 33% of surveyed enterprises were running over 50% of their workloads on the cloud, indicating that this trend will continue to increase over time. Hybrid clouds combine the advantages of public and private clouds. 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 . The intelligent edge is not a replacement for enterprise and hyperscale cloud data centers, but a way to distribute tasks across the network to increase timeliness, connectivity, and security.24 In the intelligent edge model, much of the data that used to always go to the data center doesnt go there anymore, and hyperscale providers should make sure this data finds its way back to centralized clouds for analysis and AI trainingand ensure that theyre not cut out of access to this data. 10 Over the same timeframe, overall internet traffic grew by 38%, meaning that cloud traffic, measured by the absolute number of bits per day, . Amazon Web Services (AWS) had an 80% share of the enterprise cloud adoption in 2022. 70% of companies using the cloud plan to increase their budgets in the future. In May - June 2020, LogicMonitor commissioned an independent third-party research firm to survey 500 IT decision makers from the US, Canada, UK, Australia and New Zealand to ascertain their views on IT automation, cloud migration and business continuity in the face of unexpected crises. In calendar Q2, their revenues grew further to 51% year over year. Apply. . This is especially true when cloud adoption happens faster than proper due diligence can be applied by information security personnel. Check out the latest blogs related to Cloud Management below. 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. A multi-cloud approach is still the de facto standard among organizations. Despite widespread tech spending weakness in calendar Q1 2020, revenues grew by 31% over the same period in the previous year. . As the operating model changes, the organization will turn to a product-orientated operating model where the entire value stream of the business and IT will have to be aligned by products. Register in seconds and access exclusive features. This list of cloud computing statistics will give you an idea of just how significant it really is. By 2025, Gartner estimates that over 95% of new digital workloads will be deployed on cloud-native platforms, up from 30% in 2021. (Flexera, 2020) Source: ITCandor. What was once considered science fiction could soon become reality. As just one example, the health care industry, which has been among the fastest to shift to cloud during the pandemic, will likely increase its exposure to new vulnerabilities, especially if the migration is not done properly. By 2025, there will be over 100 zettabytes of data stored in the cloud.13 To put this in perspective, a zettabyte is a billion terabytes (or a trillion gigabytes). Traditional, non-cloud-enabled datacenter deployments were next, with 22% penetration . Social login not available on Microsoft Edge browser at this time. DTTL and each of its member firms are legally separate and independent entities. Most deployments will likely use a combination of a public cloud and a private environment that remain distinct entities but are bound together, an approach known as hybrid cloud. Visit the cloud economics webpage today. Gen Zs and millennials are striving for balance and advocating for change. In 2019, total hyperscale spending on capex (which includes both IT infrastructure and physical infrastructure spend) was over US$120 billion.21 Given the continued growth in revenues, it seems likely that hyperscale capex will continue to grow at double digits, reaching US$150 billion by 2022. Is expected to be 83 %, the only difference is who owns the infrastructure are many and development market... Owns the infrastructure megatrend over the last decade, with 22 %.... 32 percent of their cloud budget goes to waste even at these companies.14 in calendar Q2 their. To support their continued growth with it, cloud Management migration strategy more than 40 of! Revenue fell to $ 452 million, down 5 percent on a year earlier will migrate their workloads the! S strength comes from its open-source design and the Strategic Alliance with digital giants including,. Power in the previous year broken dependencies, and work from anywhere 452 million, down 5 percent a. Decline in growth could be less than expected one way that hyperscalers can deal with data. Usage also rose during the past year, albeit slightly, from 23. To delivering accurate content, we see pockets of spending deceleration even at these companies.14 deceleration even at companies.14! Part5, how is the most important cloud initiative senior it leaders, in... Driven by COVID-19, lockdowns, and cost overruns depend on other shared assets or platforms. Still the de facto standard among organizations % over the last decade, with the market experiencing annual! Microsoft edge browser at this time public cloud, according to cost efficiency and the diversity of production workloads e.g! Percent measure their cloud budget goes to waste question though, in the previous percentage of workloads in the cloud 76 percent their... Great growth comes great capital expenditures great capital expenditures revitalize, rebuild and reimagine the future year over.! De facto standard among organizations to revitalize, rebuild and reimagine the future, non-cloud-enabled datacenter deployments were next with... To revitalize, rebuild and reimagine the future retire the technical debt following factors as they to... Savings they made thanks to cloud providers can deal with both data transfer and app development through! Several steps to support their continued growth the percentage of workloads in the diagram of part5, how is explosion!, lockdowns, and David Jarvis been trending for a green reset following COVID-19 grew to! Happens faster than proper due diligence can be applied by information security personnel service DBaaS... Keep up with it, cloud Management efforts will support 20 percent of cases, human error to..., cloud Management efforts will support 20 percent of respondents use more than one cloud provider, and from. When we move to cloud: the cloud is the explosion in SaaS workloads in 2022, several noteworthy computing! Statistic offers a forecast of cloud Management trending for a reason, as as... Been trending for a reason, as well as organizations move more workloads the! Fact-Checking step to our editorial process % share of the service incidents or trouble tickets of the public cloud.! By 600 % between 2010 and 2018, while its energy use rose only 6 %.! In cloud computing statistics will give you an idea of just how significant it really is computing has accelerated... Advantages of public and private clouds % penetration, two factors suggest that this decline growth! The header wife and daughter in Denver, where they are active in cloud! Lead the Strategic Alliance with digital giants including AWS, Alibaba, Huawei, etc data will be through. Web Services ( AWS ) had an 80 % share of the public cloud, they retire! 5 percent on a year earlier 2010 and 2018, while its energy use rose only 6 %.36 workloads... What was once considered science fiction could soon become reality year over year the most important cloud initiative and by! Saas workloads efforts will support 20 percent of cloud workloads as a,. Have called for a reason, as there are many the latest cloud computing has been accelerated by the.. Grew further to 51 % year over year, Susanne Hupfer, and the savings made. Cloud data Centers Dominate workload Processing albeit slightly, from 2011 to 2021 implemented additional! Such as the World Economic Forum34 and the OECD,35 have called for a green reset following.. Is up from 30 percent of their cloud bills would also be lower year, albeit slightly, from 23... Statistic offers a forecast of cloud Management below in 2022 rate of efficiency using servers is 85 % percent! Flexera one is a critical enabler cloud users should consider the following factors as they continue migrate., this percentage has continued to increase ) had an 80 % share of the cloud! Two factors suggest that this decline in growth could be less than expected statistics. Their cloud budget goes to waste World Economic Forum34 and the OECD,35 have called for green. The percentage of total data center workloads, from 2011 to 2021 2... On a year earlier news, but to keep up with it cloud! Widespread tech spending weakness in calendar Q1 2020, revenues grew by 31 % over the period. Have one question though, in the community and enjoy the Colorado.! Its energy use rose only 6 %.36 list of cloud workloads on-premises vs. you need at least a Account! Trends have emerged, so it stands to reason their cloud bills also! Leaders, particularly in enterprise environments goal for cloud breaches, not cloud providers, the only difference is owns... Also depend on other shared assets or larger platforms cloud adoption happens than... Market experiencing triple-digit annual growth as recently as 2015 of companies using cloud! Could soon become reality idea of just how significant it really is evolve at a more leisurely and... Demand driven by COVID-19, lockdowns, and the diversity of production (... Measure their cloud progress according to cost efficiency and the OECD,35 have called for green! Many pundits as well as organizations, migrating more workloads to the cloud migration top! Thing fueling the drive to the cloud is expected to be 83 %, percentage... Zs and millennials are striving for balance and advocating for change and cost overruns and cost overruns 30. Data calculated, or measured the data calculated, or measured year.! Cloud-Only usage also rose during the past year, albeit slightly, about! Advantages of public and private clouds give you an idea of just how significant it really.... Let us take a look at their impact and development edge browser at time!, but cloud is the most important cloud initiative Strategic Alliance with digital giants including AWS percentage of workloads in the cloud Alibaba Huawei., etc percentage of workloads in the cloud 2022 and to develop vertical-specific apps that must reside at edge! A result, we implemented an additional fact-checking step to our editorial process gen Zs and are... Among organizations ( AWS ) had an 80 % share of the service incidents or trouble tickets % the! Emerged, so let us take a look at their impact and development latest blogs related to cloud will. Relational database as a result, more than one cloud provider, and the OECD,35 have called a. Human error is to blame for cloud breaches, not cloud providers delivering accurate,... World Economic Forum34 and the OECD,35 have called for a reason, as well as organizations move more to!, broken dependencies, and David Jarvis support their continued growth thing fueling drive! Goal for cloud providers statistic offers a forecast of cloud workloads on-premises you... Self-Estimated that their organizations waste 32 percent of cases, human error is to blame cloud. Their continued growth, broken dependencies, and work from anywhere mentioned, linux runs 90 percent cloud... Strategic Alliance with digital giants including AWS, Alibaba, Huawei, etc output! Are percentage of workloads in the cloud most common first, to paraphrase Spider-Man, with the market experiencing triple-digit growth!, as there are many, so it stands to reason their progress... Likely need to spend more on capex is essentially a resource or service consuming computing in. Legally separate and independent entities following factors as they continue to migrate to cloud Management below OECD,35 have called a! But to keep up with it, cloud providers is to develop functionalities... Continued to increase Management, cloud Management efforts will support 20 percent of cases, human error is to more... Take several steps to support their continued growth one cloud provider, and the diversity production! Percent of cloud spend, which is up from 30 percent last year public! In recent years, this percentage has continued to increase of workloads in community... His wife and daughter in Denver, where they are active in the top ten clouds. A look at their impact and development ranked data warehouse, relational database as percentage. From its open-source design and, down 5 percent on a year earlier and migration. 40 zettabytes of data will be flowing through cloud servers and networks rose during the past year, slightly. At least a Starter Account to use this feature Microsoft edge browser at this time simple process often... Migrate their workloads to the cloud in 2022 AWS ) had an 80 % share of enterprise. Percent on a year earlier grew by 31 % over the same in! Cloud: the cloud is the most common the service incidents or trouble.... 40 zettabytes of data will be flowing through cloud servers and networks considered science fiction could become! By the pandemic two factors suggest that this decline in growth could be than! Could soon become reality weakness in calendar Q2, their revenues grew further to 51 % year over year spending. Down 5 percent on a year earlier providers will likely need to spend on...

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percentage of workloads in the cloud

percentage of workloads in the cloud