5 Enterprise Cloud Strategy Trends for 2020 and Beyond

The enterprise cloud has changed the way companies handle IT. It has made it possible for IT departments to adopt a pay-as-you-go model. This model allows them to scale up and down services, applications, or cloud instances on the fly.

Developments in cloud computing move fast and can be impossible to predict and follow. But some of the trends that will characterize the cloud market for the foreseeable future are now coming into focus. Even then, it’s important to remember that technologies and vendors are vulnerable to disruption at any time.

Many emerging cloud computing trends are a result of the industry finally entering a phase of standardization and increasing compatibility. This is a sign that cloud computing is finally maturing. Cloud infrastructure is becoming less siloed. Workloads are more portable, and data are more mobile.

With these developments, companies are now more willing than ever to adopt a cloud-first approach. After all, it allows them to drive innovation and growth with flexible and independent platforms. We have compiled some of the trends you’re likely to see from 2020 going forward.

 

Multi-Cloud to Omni-Cloud

The multi-cloud became the norm in 2019. Enterprises have been routinely deploying workloads across multiple cloud providers for a while now. Applications are becoming more portable, data is becoming more mobile, computation speeds are increasing, and vendors are forming alliances. This will eventually result in the multi-cloud looking a lot like an Omni-cloud.

Large enterprises may soon start to procure cloud services from all the hyperscalers and other niche providers. This should allow them to take advantage of the increasingly differentiated services and deals. It will also help them avoid vendor lock-in.

A good example of this is The Hearst Corp. The company has more than 360 separate businesses spread across Microsoft Azure, Amazon Web Services, and Google Cloud. This Omni-cloud approach gives the media company a competitive advantage in the market.

 

Enter Quantum Computing

Quantum computing is the future. It will allow computers and servers to process information at super-fast speeds compared with existing standards. Cloud computing relies on rapid network systems that have no backlogs. This means that quantum computing will play a key role in the increase of computational power and compute efficiency.

The increase in compute speeds will see increased adoption of the enterprise cloud. The cloud will be integral to enterprises that must process lots of data in a viable and sustainable way.

 

Security Acquisitions

Most organizations adopting the enterprise cloud often want to work with platform-native security tools rather than third-party tools. Cloud providers that cannot develop these tools in-house will have to buy them. This explains the spike in cloud security acquisitions over the last year.

For example, VMware recently acquired Carbon Black for $2.1 billion. It also bought Intrinsic in a bid to raise its application security game. Microsoft acquired Blue Talon to simplify data privacy and governance. Google brought Chronicle into its Alphabet fold. Other examples include Broadcom’s acquisition of Symantec and Cisco’s acquisition of Duo Security.

Security is complex, and this trend is unlikely to stop since there are always new gaps to fill. We are likely to see an increase in mergers and acquisitions in 2020.

 

The Return to Private Cloud

The rally by enterprises to move to the private cloud is unlikely to slow down. It’s also looking very likely that the private cloud will make a huge comeback. Containers and other solutions that facilitate application portability are making it easier for organizations to move some workloads on-premises.

Enterprises are taking advantage of this as they become better acquainted with the nuanced benefits of working with different environments. We are likely to see traffic flowing more freely between the public cloud and private cloud. After all, some workloads benefit from the security, performance, and cost-saving accrued from running in software-defined data centers.

 

The Introduction of Artificial Intelligence (AI)

Software as a Service (SaaS) is about to become intelligent SaaS. Providers are increasingly infusing machine learning into most SaaS, IT Ops, analytics, and BI products. Despite the inherent benefits of AI (automation and insights), the term is also a huge selling point. Providers want to include it in their product pitches to woo customers.

Cloud providers can incorporate AI into chatbots, inference engines, and predictive analytics. Some machine learning features touted by cloud vendors are genuinely useful. There are others used just to capitalize on the buzz word. Going into 2020, more providers will include AI as a selling point. 

 

Serverless Computing

The term serverless computing can be misleading. This is because applications still run on servers. However, the cloud provider only manages code execution. The customer only pays when the code is running. A customer doesn’t have to pay for a fixed amount of bandwidth or number of servers. The service auto-scales depending on demand. This means that enterprises can avoid provisioning and maintenance of the server when producing code.

 

Conclusion

Enterprise cloud adoption is here to stay. The future is looking brighter for the cloud, and adoptions will grow as more providers develop more features. Ultimately, organizations will have to choose between adopting the cloud to meet customer demands or falling by the wayside.

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