Published on October 29, 2023, 8:58 pm

{ "tldr": "Global end-user spending on public cloud services is predicted to reach $591.8 billion in 2023, growing by 20.7% from 2022. Gartner suggests that more than 50% of enterprises will use industry cloud platforms. Organizations face challenges such as security, scalability, compatibility, and costs when adopting cloud technology. Advanced organizations are implementing practices like FinOps to optimize technology investments and reduce complexity and costs. The CTO plays a crucial role in streamlining operations with a universal data platform, while the CIO focuses on training and employee engagement. Tech leaders should consider not creating silos, thinking about the future, and making benefits real to guide their decisions.", }

The global end-user spending on public cloud services is projected to reach US$591.8 billion in 2023, according to Gartner’s predictions. This represents a significant growth of 20.7% from 2022.

The cloud infrastructure and platform services (CIPS) market encompasses standardized and highly automated offerings that combine infrastructure resources like computing, networking, and storage with integrated platform services such as managed applications, databases, and functions-as-a-service.

In the near future, Gartner predicts that more than 50% of enterprises will leverage industry cloud platforms to accelerate their business initiatives. These platforms are tailored to specific industries and provide a shift from generic solutions to ones designed to meet the unique requirements of each industry.

As organizations rush towards adopting cloud technology, they are discovering that it is not as simple as initially anticipated. While it has become easier for organizations to connect to the cloud and acquire necessary resources, this ease introduces new challenges including security, scalability, compatibility, interoperability, and compliance.

Furthermore, businesses are seeking customization options in the cloud to align with their specific objectives. However, this desire for customization adds complexity and extra costs.

Matthew Swinbourne, CTO for Cloud Architecture for APAC at NetApp, highlighted that some decisions made hastily by businesses during the initial rush towards adopting cloud technology are now generating challenges. Most organizations now have multiple clouds—private clouds and office platforms—that tend to be siloed. This multi-cloud environment increases complexity compared to the more straightforward setup in 2020 when organizations had a singular vision for their cloud adoption.

Swinbourne emphasized that with the increasing prevalence of using the cloud for all aspects of business operations today, complexity has reached a tipping point. Tech executives are aware of this issue as indicated by NetApp’s Cloud Complexity Report.

To address these complexities effectively, more advanced organizations are implementing practices such as FinOps within their organizational structure. This approach involves collaboration between technology executives, finance executives, and business strategy professionals to develop a focused strategy that optimizes technology investments while reducing complexity and costs.

Swinbourne stressed the importance of the CTO in streamlining operations by implementing a universal data platform across all public cloud types, service providers, and data centers. This approach helps reduce complexity and minimizes information silos, resulting in better products and returns for customers.

The role of the CIO is equally important in managing cloud complexity. In addition to implementing new platforms and applications, the CIO must also focus on training and encouraging employees to embrace these changes and adapt their work processes. Creating a social influence is crucial for successful adoption and full engagement with new technologies.

According to Swinbourne’s recommendations based on NetApp’s Cloud Complexity report, tech leaders should identify three foundational primitives to guide their decisions: not creating silos, thinking about the future, and making the benefits real. These primitives ensure that technology decisions align with desired outcomes even as technology evolves.

In summary, effectively addressing cloud complexity requires collaboration between the CTO and CIO to streamline operations while driving user buy-in through social influences. By following recommended strategies and adopting outcome-based decision-making approaches, organizations can navigate emerging technologies without losing sight of their business goals.

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