Enterprises are increasingly adopting Cloud Computing services as well as solutions. For the very first time in history, it was reported that the total global spending on cloud computing in 2021 exceeded the total spend on non-cloud solutions.
This is a huge and significant development in itself. It clearly indicates that enterprises are increasingly moving away from on-premise data centers and private clouds, in favor of the public cloud. The public cloud has a wide range of advantages to offer.
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Recently, the Flexera State of the Cloud Report was released, which provided useful insights about the Cloud Computing industry in general, and the public cloud in particular. The report has revealed a whole new set of opportunities for public cloud providers.
Small Businesses Rush Towards the Pubic Cloud
According to the report by Flexera, Small to Medium sized businesses (SMBs) are spending heavily on the public cloud. A majority 53% of the surveyed SMBs were spending over US $1.2 Million on the public cloud annually.
When compared to the previous year, only 38% of the surveyed SMBs were spending that much annually over the public cloud. For the purpose of this report, all enterprises with one thousand or lesser employees were classified as Small to Medium sized businesses (SMB).
Nearly 8% of the 753 respondents were spending more than US $60 Million annually on the public cloud. Over half of the respondents were spending more than US $2.4 Million on the public cloud annually.
Related: Healthcare to Remain a Prime Target for Ransomware in 2022
Larger Enterprises Equally Favor the Public Cloud
Almost 37% of the surveyed larger enterprises, with employees in excess of 1,000, were spending more than US $12 Million annually on the public cloud. Combined, nearly 80% of the surveyed enterprises were spending more than US $1.2 Million on the public cloud.
Challenges in Cloud Migration Journeys
The report by Flexera also takes into account the challenges being faced by enterprises when moving to the public cloud. Here is a brief recap of those issues, and the solutions recommended by public cloud experts.
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Managing and Optimizing Cloud Spending
Most SMBs do not require the provisioning of cloud solutions that can handle processing intensive workloads. Still, some of the surveyed SMBs ended up provisioning higher spec public cloud solutions than the ones that would have proved adequate.
This issue can be overcome by properly planning the workloads that will be run over public cloud solutions. By doing so, SMBs will end up provisioning, and paying only for the cloud resources that they actually needed in the first place.
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Public Cloud Security Management
Well, the management of public cloud security and a lack of skilled cloud professionals are two issues that are quite interlinked. Many recent studies have revealed that security incidents related to the public cloud were mainly due to misconfiguration errors.
What this means is that the security protocols and mechanisms of public cloud providers are more than adequate for present day cyber threats. SMBs can overcome configuration errors either by engaging skilled cloud experts, or training their existing employees for this.
Lack of Expertise and Cloud related Human Resources
Most of the SMBs have rapidly transitioned to the public cloud over the past two years or so. Most of these recent migrations to the public cloud were performed in extra ordinary circumstances, under tight schedules.
Related: 4.5 Trillion Dollars is the Estimated IT Spending in 2022 – Gartner
So, the report cites that SMBs are not only experiencing cloud expertise related challenges, but they are also finding it hard to arrange the rightly skilled human resources that have sufficient expertise related to managing public cloud environments.
The report suggests that SMBs need to invest in increasing the capacities of their existing workforce to overcome this challenge. This will not only serve the goal of career progression for employees, but will also reduce their reliance on external expertise.
Conclusion
The Flexera report has provided very useful insights about public cloud adoption among Small to Medium sized businesses (SMBs). With the right direction and vision, the challenges cited above can easily be overcome by the deploying enterprises.
Contact dinCloud, an ATSG company, for highly flexible and cost efficient cloud computing solutions as well as services for your business. At dinCloud, we always strive to first understand your needs, and then deliver the most optimal cloud solution possible.
