The State of Cloud Computing in 2016

Cloud computing has come a long way in a very short time. Now that we’re halfway through 2016, it’s important to assess where the cloud technology industry is moving and how your company fits into that picture. For your reference, we compiled an update to serve as the state of cloud computing in 2016.

Major players still going strong
Amazon and Microsoft are untouchable forces. Moving through 2016, we should expect nothing less than the top of the spot for these cloud powerhouses. According to TechNavo, cloud computing services will experience growth during the course of the forecast period. Organizations and companies are adopting these offerings to achieve easier installation processes and to reduce operating costs.

Hybrid cloud strategies get easier
A recent research firm noted hybrid clouds would have the highest revenue share of any cloud model in 2015, due to capabilities found in both public and private solutions. Organizations have adopted hybrid suites to reduce costs and take advantage of certain feature sets, such as control and space. Companies can store sensitive data in private environments while interlinking this information through public clouds for billing.

Cloud analytics help IT
Security standards for the cloud are increasing in the upcoming year. “With an increasing number of organizations relying on cloud services, 2016 will witness the formation of a baseline for security standards in the cloud, enabling even greater migration to the cloud and compelling enterprises to integrate cloud based services into their IT resources.” A great example of this step is the Cloud Security Alliance.

As the cloud computing industry continues to experience positive growth and healthy competition in the future, Managed Service Providers (MSPs) will likely be looked at as valuable partners that help organizations safely and securely implement cloud suites.

The market for MSPs is currently just scratching the surface. Companies that want to establish a true competitive advantage can do so by delivering consistent customer service during transitional periods involving the latest technologies, especially cloud computing. The ability to identify problems beforehand makes it possible for clients to avoid launching new products and services that may put critical infrastructure in harm’s way.

Barriers regarding cloud are dissipating
Perhaps the most encouraging is the growth of trust in cloud computing coming into 2016 and going forward.

A recent Evolve IP survey of more than 1,250 decision-makers discovered that 88% believe the future IT landscape will be hosted in the cloud. Of the directors, vice presidents and C-level executives polled, 70% said they are “cloud believers.”

The study also found legal and compliance concerns declined 9 percentage points between 2013 and this year’s analysis.

Companies can no longer look at the cloud from a distance if they want to compete over the long run. The technology is too valuable to pass up any longer. Add in the fact that more businesses are leveraging the solution for all sorts of tasks, and those organizations waiting too long will find themselves at a severe competitive disadvantage. Adopters don’t have to be first to implement hosted environments, but they can’t be the last.

If you’re considering turning some or all of your company’s business functions over to the cloud, one of the first aspects to consider is security. Click here to gain access to our free eBook that details how security, SLAs, and compliance can affect cloud, data center, and infrastructure projects.


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