Click here to close now.



Welcome!

OpenStack Journal Authors: Elizabeth White, Liz McMillan, Pat Romanski, Ed Featherston, Donald Meyer

News Feed Item

RightScale Releases 2014 State of the Cloud Report

Public Cloud Adoption Nears 90 Percent on the Journey to Hybrid Cloud

SANTA BARBARA, CA -- (Marketwired) -- 04/02/14 -- RightScale® Inc., a demonstrated leader in enterprise cloud portfolio management, today announced the results of its 2014 State of the Cloud Survey. The survey found that cloud adoption is reaching ubiquity as enterprises increase both public and private cloud adoption, but enterprise governance is lagging. In addition, the survey found as enterprise cloud maturity progresses, cloud security concerns abate and attention increasingly shifts to managing ongoing challenges of compliance, cost management, and performance. The survey also identified significant interest in infrastructure-as-a-service offerings from Microsoft and Google, and a looming face-off between VMware and OpenStack in the private cloud market.

The full results of the survey are available in the RightScale 2014 State of the Cloud Report at www.rightscale.com/2014-cloud-report.

"Enterprises are adopting cloud computing in record numbers and have leveraged growing experience to overcome many of the early challenges including security," said Michael Crandell, founder and CEO of RightScale. "Large enterprises are complex and understandably deliberate in cloud adoption, yet with increased adoption they continue to unlock more value."

More Cloud Adoption Unlocks More Cloud Value

As it did in 2013, RightScale evaluated responses with a Cloud Maturity Model in order to segment and analyze companies based on their level of cloud adoption.

  • Cloud Watchers are organizations that are developing cloud strategies and plans but have not yet deployed applications into the cloud.
  • Cloud Beginners are new to cloud computing and are working on proof-of-concepts or initial cloud projects.
  • Cloud Explorers have multiple projects or applications already deployed in the cloud.
  • Cloud Focused businesses are heavily using cloud infrastructure.

The 2014 survey echoes a key finding of the 2013 State of the Cloud Report: cloud maturity matters. As organizations adopt cloud more broadly, they realize increasingly more value, and the challenges of adopting cloud decline.

  • Cloud reaching ubiquity: In the 2014 survey, 94 percent of organizations surveyed are running applications or experimenting with infrastructure-as-a-service. 87 percent of organizations are using public cloud.
  • Enterprise adoption matures: Enterprises with more than 1,000 employees have moved beyond the Cloud Watcher stage. In 2014, only 16 percent of respondents were in this early phase, down from 32 percent in 2013.
  • Workloads broaden: As organizations progress in cloud maturity, the types of workloads they deploy in the cloud broaden. Test and development applications top the list, with more than 85 percent of cloud-focused companies deploying them in the cloud. Customer web apps (78 percent), internal web apps (70 percent), batch processing (62 percent), and mobile apps (54 percent) also are deployed in the cloud by a majority of Cloud Focused organizations. Only social apps saw significantly fewer cloud deployments in 2014 at 18 percent (down from 23 percent in 2013).
  • Cloud benefits grow in 2014: The number of respondents reporting benefits from cloud computing grew in 2014 over the previous year in a variety of categories, including higher availability (48 percent, up from 41 percent in 2013), geographic reach (37 percent, up from 32 percent in 2013), cost savings (34 percent, up from 30 percent in 2013), and business continuity (34 percent, up from 28 percent in 2013).
  • Overcoming security with experience: While the benefits of the cloud increase with experience, the challenges of cloud show a sharp decrease as organizations gain expertise with cloud. Security remains the most-often cited challenge among Cloud Watchers (31 percent) but decreases to the fifth most cited (13 percent) among Cloud Focused organizations. As organizations become more experienced in cloud security options and best practices, the less of a concern cloud security becomes. For Cloud Focused respondents, issues that require ongoing attention -- compliance, cost and performance -- are most often cited as challenges.

Next-Generation, Cloud-Based IT Includes Hybrid, DevOps and Self-Service IT

The RightScale 2014 survey found enterprises often have varying combinations of public, private, and hybrid cloud infrastructure, with hybrid and multi-cloud implementations as the end goal for most enterprises. At the same time, two other significant trends are taking hold in corporate technology offices: DevOps and Self-Service IT. Together, these three initiatives -- Cloud, DevOps, and Self-Service IT -- are shaping up as the critical pillars of next-generation IT.

  • Hybrid cloud is the approach of choice : 74 percent of enterprise respondents have a multi-cloud strategy, and 48 percent are planning for hybrid clouds. In addition, 15 percent of enterprises expect to use multiple public clouds, and 11 percent are planning for multiple private clouds.
  • Enterprises progress on hybrid initiatives: Among the 74 percent of enterprises that have a multi-cloud strategy, more than half of those are already using both public and private cloud.
  • Next-generation IT shapes up as Cloud + DevOps + Self-Service IT: Cloud Focused companies are also embracing DevOps (71 percent) and Self-Service IT (68 percent). More than 70 percent of mature cloud users are able to provide self-service access to provision resources in the cloud in under an hour.

Addressing the Challenges Ahead

Although enterprises are progressing in cloud adoption, many have yet to define key elements of their cloud strategy and governance. Less than a third of organizations have defined such critical aspects of governance as which clouds can be used, disaster recovery approaches, and cost management.

  • Defining business value: Just over half of enterprises have defined the business value they want to get from cloud initiatives and security policies for cloud.
  • Defining policies: Only a minority of organizations has defined policies for choosing public or private clouds (36 percent), implementing availability or disaster recovery (32 percent), and managing costs (29 percent).
  • Competing view points of cloud within the enterprise: In addition to current gaps in cloud governance, there are differing views between central IT and technical teams in business units about the role IT plays in the cloud. While central IT envisions a broad role for itself in selecting clouds, setting policies, building a private cloud, and brokering cloud services; respondents in business units see the role of IT as much narrower.

Growing Competition among Cloud Providers

Amazon Web Services (AWS) continues to dominate public cloud adoption, while other vendors and options are quickly gaining interest from cloud users.

  • Public cloud space heating up: AWS adoption is 54 percent - 4x the nearest competitor. IaaS offerings from Google and Microsoft are gaining the interest of cloud users, with Azure leading among enterprises and Google Cloud Platform among small and midsize organizations. Rackspace Public Cloud is second within the SMB segment.
  • Private cloud: The battle among private cloud technologies is shaping up as a clash of cultures between the open-source OpenStack and proprietary solutions from VMware. While 31 percent of enterprise respondents view their VMware vSphere/vCenter environments as a private cloud, OpenStack is well-positioned to unseat VMware in private cloud -- coming in first in interest and second in current usage. Microsoft System Center is waiting in the wings with a strong third position among enterprise users.

Survey Methodology

RightScale conducted its annual State of the Cloud Survey in February 2014. The survey questioned technical professionals across a broad cross-section of organizations about their adoption of cloud computing. The 1,068 respondents range from technical executives to managers and practitioners and represent organizations of varying sizes across many industries. Respondents represent companies across the cloud spectrum, including both users (28 percent) and non-users (72 percent) of RightScale solutions. Their answers provide a comprehensive perspective on the state of the cloud today.

About RightScale

RightScale® Inc. Cloud Portfolio Management enables leading enterprises to accelerate delivery of cloud-based applications that engage customers and drive top-line revenue while optimizing cloud usage to reduce risk and costs. With RightScale, IT organizations can deliver instant access to a portfolio of public, private, and hybrid cloud services across business units and development teams while maintaining enterprise control. RightScale offers RightScale Cloud Analytics to help bring clarity to organizations on current cloud costs and help model and optimize for future cloud use. RightScale CloudSight consulting helps companies develop cloud strategies, deliver cloud projects, and optimize cloud usage. Since 2007, leading enterprises including Pearson International, Intercontinental Hotels Group, and PBS have launched millions of servers through RightScale.

RightScale is a registered trademark of RightScale, Inc. All other trademarks are property of their respective owners. Other product or company names mentioned may be trademarks or trade names of their respective companies.

PR Contact:
Bret Clement
RightScale PR
Email Contact
805.243.3270

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
IoT is rapidly changing the way enterprises are using data to improve business decision-making. In order to derive business value, organizations must unlock insights from the data gathered and then act on these. In their session at @ThingsExpo, Eric Hoffman, Vice President at EastBanc Technologies, and Peter Shashkin, Head of Development Department at EastBanc Technologies, discussed how one organization leveraged IoT, cloud technology and data analysis to improve customer experiences and effi...
Internet of @ThingsExpo has announced today that Chris Matthieu has been named tech chair of Internet of @ThingsExpo 2016 Silicon Valley. The 6thInternet of @ThingsExpo will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Presidio has received the 2015 EMC Partner Services Quality Award from EMC Corporation for achieving outstanding service excellence and customer satisfaction as measured by the EMC Partner Services Quality (PSQ) program. Presidio was also honored as the 2015 EMC Americas Marketing Excellence Partner of the Year and 2015 Mid-Market East Partner of the Year. The EMC PSQ program is a project-specific survey program designed for partners with Service Partner designations to solicit customer feedbac...
The cloud promises new levels of agility and cost-savings for Big Data, data warehousing and analytics. But it’s challenging to understand all the options – from IaaS and PaaS to newer services like HaaS (Hadoop as a Service) and BDaaS (Big Data as a Service). In her session at @BigDataExpo at @ThingsExpo, Hannah Smalltree, a director at Cazena, provided an educational overview of emerging “as-a-service” options for Big Data in the cloud. This is critical background for IT and data profession...
"There's a growing demand from users for things to be faster. When you think about all the transactions or interactions users will have with your product and everything that is between those transactions and interactions - what drives us at Catchpoint Systems is the idea to measure that and to analyze it," explained Leo Vasiliou, Director of Web Performance Engineering at Catchpoint Systems, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York Ci...
Ask someone to architect an Internet of Things (IoT) solution and you are guaranteed to see a reference to the cloud. This would lead you to believe that IoT requires the cloud to exist. However, there are many IoT use cases where the cloud is not feasible or desirable. In his session at @ThingsExpo, Dave McCarthy, Director of Products at Bsquare Corporation, will discuss the strategies that exist to extend intelligence directly to IoT devices and sensors, freeing them from the constraints of ...
Connected devices and the industrial internet are growing exponentially every year with Cisco expecting 50 billion devices to be in operation by 2020. In this period of growth, location-based insights are becoming invaluable to many businesses as they adopt new connected technologies. Knowing when and where these devices connect from is critical for a number of scenarios in supply chain management, disaster management, emergency response, M2M, location marketing and more. In his session at @Th...
Extracting business value from Internet of Things (IoT) data doesn’t happen overnight. There are several requirements that must be satisfied, including IoT device enablement, data analysis, real-time detection of complex events and automated orchestration of actions. Unfortunately, too many companies fall short in achieving their business goals by implementing incomplete solutions or not focusing on tangible use cases. In his general session at @ThingsExpo, Dave McCarthy, Director of Products...
The Internet of Things will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform and how we integrate our thinking to solve complicated problems. In his session at 19th Cloud Expo, Craig Sproule, CEO of Metavine, will demonstrate how to move beyond today's coding paradigm ...
There are several IoTs: the Industrial Internet, Consumer Wearables, Wearables and Healthcare, Supply Chains, and the movement toward Smart Grids, Cities, Regions, and Nations. There are competing communications standards every step of the way, a bewildering array of sensors and devices, and an entire world of competing data analytics platforms. To some this appears to be chaos. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, Bradley Holt, Developer Advocate a...
Apixio Inc. has raised $19.3 million in Series D venture capital funding led by SSM Partners with participation from First Analysis, Bain Capital Ventures and Apixio’s largest angel investor. Apixio will dedicate the proceeds toward advancing and scaling products powered by its cognitive computing platform, further enabling insights for optimal patient care. The Series D funding comes as Apixio experiences strong momentum and increasing demand for its HCC Profiler solution, which mines unstruc...
SYS-CON Events has announced today that Roger Strukhoff has been named conference chair of Cloud Expo and @ThingsExpo 2016 Silicon Valley. The 19th Cloud Expo and 6th @ThingsExpo will take place on November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. "The Internet of Things brings trillions of dollars of opportunity to developers and enterprise IT, no matter how you measure it," stated Roger Strukhoff. "More importantly, it leverages the power of devices and the Interne...
In addition to all the benefits, IoT is also bringing new kind of customer experience challenges - cars that unlock themselves, thermostats turning houses into saunas and baby video monitors broadcasting over the internet. This list can only increase because while IoT services should be intuitive and simple to use, the delivery ecosystem is a myriad of potential problems as IoT explodes complexity. So finding a performance issue is like finding the proverbial needle in the haystack.
Machine Learning helps make complex systems more efficient. By applying advanced Machine Learning techniques such as Cognitive Fingerprinting, wind project operators can utilize these tools to learn from collected data, detect regular patterns, and optimize their own operations. In his session at 18th Cloud Expo, Stuart Gillen, Director of Business Development at SparkCognition, discussed how research has demonstrated the value of Machine Learning in delivering next generation analytics to imp...
Whether your IoT service is connecting cars, homes, appliances, wearable, cameras or other devices, one question hangs in the balance – how do you actually make money from this service? The ability to turn your IoT service into profit requires the ability to create a monetization strategy that is flexible, scalable and working for you in real-time. It must be a transparent, smoothly implemented strategy that all stakeholders – from customers to the board – will be able to understand and comprehe...
The cloud market growth today is largely in public clouds. While there is a lot of spend in IT departments in virtualization, these aren’t yet translating into a true “cloud” experience within the enterprise. What is stopping the growth of the “private cloud” market? In his general session at 18th Cloud Expo, Nara Rajagopalan, CEO of Accelerite, explored the challenges in deploying, managing, and getting adoption for a private cloud within an enterprise. What are the key differences between wh...
The IoT is changing the way enterprises conduct business. In his session at @ThingsExpo, Eric Hoffman, Vice President at EastBanc Technologies, discussed how businesses can gain an edge over competitors by empowering consumers to take control through IoT. He cited examples such as a Washington, D.C.-based sports club that leveraged IoT and the cloud to develop a comprehensive booking system. He also highlighted how IoT can revitalize and restore outdated business models, making them profitable ...
IoT offers a value of almost $4 trillion to the manufacturing industry through platforms that can improve margins, optimize operations & drive high performance work teams. By using IoT technologies as a foundation, manufacturing customers are integrating worker safety with manufacturing systems, driving deep collaboration and utilizing analytics to exponentially increased per-unit margins. However, as Benoit Lheureux, the VP for Research at Gartner points out, “IoT project implementers often ...
When people aren’t talking about VMs and containers, they’re talking about serverless architecture. Serverless is about no maintenance. It means you are not worried about low-level infrastructural and operational details. An event-driven serverless platform is a great use case for IoT. In his session at @ThingsExpo, Animesh Singh, an STSM and Lead for IBM Cloud Platform and Infrastructure, will detail how to build a distributed serverless, polyglot, microservices framework using open source tec...
The idea of comparing data in motion (at the sensor level) to data at rest (in a Big Data server warehouse) with predictive analytics in the cloud is very appealing to the industrial IoT sector. The problem Big Data vendors have, however, is access to that data in motion at the sensor location. In his session at @ThingsExpo, Scott Allen, CMO of FreeWave, discussed how as IoT is increasingly adopted by industrial markets, there is going to be an increased demand for sensor data from the outermos...