Cloud investments critical to business transformation, says study

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Nearly 80% of the organizations surveyed by 451 Research for a new report said their IT environments require moderate or significant transformation to meet business requirements over the next five years, involving migrating data and workloads to the cloud and keeping cloud spending on an upward trend.

The online survey of more than 700 IT and cloud decision-makers worldwide, found that 22% of enterprises have adopted a “cloud first” approach and infrastructure-as-a-service (IaaS)/public cloud is the fastest-growing cloud model.

With organizations increasingly choosing IaaS for critical applications and data, service provider selection is a critical part of digital transformation. However, the respondents indicate concern about service providers’ perceived ability to align IT and business requirements. There is a need for a better understanding of the customers’ businesses to support IT service delivery.

“As organizations implement IT transformation in earnest, they are increasingly relying on strategic partners for operational assistance,” said Melanie Posey, research vice president and lead analyst at 451 Research. “Those IaaS service providers who position infrastructure and technological innovation alongside meeting business requirements will be best positioned to capitalize on this market opportunity.”

Survey respondents rated their IaaS providers on a range of attributes prior to purchase and after implementation. IaaS providers received consistently high ratings on both the promise and fulfillment of service attributes such as uptime/performance, data security and technical expertise.

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