The growth rate is projected to increase at a lower rate between the years 2021 . An overwhelming majority of enterprises continue to move workloads from the cloud back to on-premises data centers, although it is a smaller percentage than before, according to IDG research. Many times, discussions will assume that a workload is only one item . Weve seen two years of digital transformation in two months.Microsoft CEO Satya Nadella1. He has also served on the board of the Colorado Technology Association. AWS holds the next largest percentage at 32%. In fact, 76 percent measure their cloud progress according to cost efficiency and the savings they made thanks to cloud initiatives.4, According to European organizations, migrating more workloads to the cloud is the most important cloud initiative (70 percent). By 2025, IT executives expect that 30% of business workloads will reside in the private cloud, while 28% will be in the public cloud. Therefore, storage services with unlimited cloud storage are a perfect solution for this problem. . "The most common workload preventing IT departments from lifting all services to the cloud was 'Print & Imaging Services' (55 percent)," the company said in a March 10 news release. This trend will persist well after the pandemic.23, One emerging development for hyperscale cloud providers is the intelligent edge. At the time of the study, the percentage of organizations with a cloud IT infrastructure revolved around the 45% mark. On-premise workloads are predicted to shrink from 37% today to 27% of . This could be a web service, application server, database server, or any other business process. He earned his masters and bachelors degrees from Texas A&M University, and completed executive education programs at Babson College and Arizona State Universitys Thunderbird School of Global Management. This momentum will continue as companies plan to increase their cloud adoption in the wake of COVID-19.. The key measure for measuring the environmental intensiveness of cloud computing is power usage effectiveness (PUE), in which great strides have been made. Traditional, non-cloud-enabled datacenter deployments were next, with 22% penetration . According to one Canadian AI researcher, The concern is that machine-learning algorithms in general are consuming more and more energy, using more data, [and] training for longer and longer.41. In 2021, this is expected to increase by 23.1 percent to a staggering $332.3 billion. According to the 2020 Cloud Infrastructure Report released today by cloud transformation service provider AllCloud, by the end of 2020, 85 percent of businesses will have a majority of their workloads running in the cloud.The report documents the results of a survey that was administered to over 150 IT professionals in U.S. companies with at least 300 employees. Go straight to smart with daily updates on your mobile device, See what's happening this week and the impact on your business. Patrick lives with his wife and daughter in Denver, where they are active in the community and enjoy the Colorado outdoors. (May 31, 2021). Nominations are now open for our 2022 ranking! 2. The cloud migration forecast: Cloudy with a chance of clouds has been saved, The cloud migration forecast: Cloudy with a chance of clouds has been removed, An Article Titled The cloud migration forecast: Cloudy with a chance of clouds already exists in Saved items. Even if we disregard these, current cloud computing stats speak volumes about the state of cloud computing and where its headed. As stated by the industry publication SiliconANGLE: Because the big cloud players are so large, they are exposed to industries that have been hard-hit by the pandemic. For example, google drive has a 94.4% rate, I just wonder how this number came out. In 2021, 63 percent of respondents expect to be running 41 percent or more of their workloads in public cloud, indicating that adoption of public cloud will only continue. The number of public cloud users who utilize service beyond basic compute, storage and network services continues to grow. . Get the latest insights in cloud computing trends and cloud migration statistics. In recent years, this percentage has continued to increase. Of course, it is impossible to predict with 100 percent accuracy how the future of cloud computing will look COVID-19 showed us that everything can change but certain patterns concerning cloud technologies and cloud infrastructure have emerged and they warrant analysis. While an earlier study by Spiceworks Ziff Davis had found that cloud use accounted for 40 percent of workloads, that percentage was expected to increase to 50 percent of workloads by 2023 . The report explores the thinking of 753 respondents from a survey conducted in late 2021 and highlights the year-over-year (YoY) changes to help identify trends. The changes that Gartner says are on the horizon will mean major shifts in the way the world does business over the next few years, the results of which Gartner said will be more than 85% of . A new study from the Cloud Security Alliance (CSA) and cloud security company AlgoSec finds that over half of organizations are running 41 percent or more of their workloads in public clouds . Workloads can support more than one process. In fact, just over half of businesses (52 percent) prefer cloud solutions that have their own native security tools.8, When we think of cyberattacks, we often picture hackers exploiting built-in cloud IT infrastructure weaknesses. Founder Jeff Bezos attributes AWS enormous success to its seven-year head start before facing serious competition. The appropriately named Citadel is the largest data center ever constructed, and is located in Tahoe Reno, Nevada. The three largest semiconductor companies that disclose segmented data center sales saw their combined revenues grow by only 3% in 2019 to just under US$30 billion. With a hybrid cloud solution, you can, for example, only use public cloud resources when you really need them, saving you a lot of money in the meantime. This statistic offers a forecast of cloud workloads as a percentage of total data center workloads, from 2011 to 2021. However, she said, 81 percent of customers reported the repatriation of workloads from public clouds to on-premises private cloud, hosted private cloud, or on-premises non-cloud infrastructures, a . Public clouds are owned and operated by third-party service providers and are the most common. However, any affiliate earnings do not affect how we review services. SMBs run fewer and smaller workloads, so it stands to reason their cloud bills would also be lower. Further, not only is clouds energy use growing more slowly than its computing output, but cloud computing often uses less energy than the noncloud alternative. Please do not hesitate to contact me. A lot of data is currently in the cloud, and by 2025 it will reach 100 zettabytes. Based on market share, the largest cloud computing company in the world is Amazon Web Services. Second, in the longer term, the WFA forced experiment15 is being seen as a success by many workers and employers. While that could be true, new research from Synergy . This list of cloud computing statistics will give you an idea of just how significant it really is. A quarter (25%) of respondents cited private cloud as their most commonly used deployment model, the highest percentage after multicloud (36%). Those observations track with the results of the Fortinet survey. As noted above, increases in cloud usage mean increases in the cyberattack surface, making security more important than everespecially given the growth in usage driven by COVID-19. Please create an employee account to be able to mark statistics as favorites. In its Q4 2022 results, total revenue fell to $452 million, down 5 percent on a year earlier. In fact, according to the survey, 27 percent of organizations already have moved, or plan to move, apps/workloads from the cloud back on-prem, a retrograde maneuver known as repatriation. Private cloud-only usage also rose during the past year, albeit slightly, from about 23% in 2020 to 25% in 2021. Even a single application could be tied to multiple business processes, affecting vendors, balance sheets, and regulatory compliance, and different stakeholders could have different motives and expectations from the migration. This question focused on percentage of existing workloads, rather than where the main workload was located or what would happen in the future (a more objective representation). But what about the network infrastructure underneath? Organizations are increasingly utilizing PaaS services from cloud providers. By 2025, Gartner estimates that over 95% of new digital workloads will be deployed on cloud-native platforms, up from 30% in 2021. This growth is expected as more organizations migrate their IT workloads to the cloud. Just . As the leader of Deloitte China Cloud Practice as well as Tech Strategy practice, Michael provides Tech Strategy, Cloud and Digital Transformation service to many large organizations covering industries like Consumer Product, Retail, Energy &Resource, Industry Products, FSI, etc. This will create new roles . Organizations are, on average, running 40 percent of their workloads in the public cloud, and 89 percent are either already in various stages of implementing cloud, or plan to adopt public cloud within the next year, according to DivvyCloud's 2019 State of Enterprise Cloud and Container Adoption and Security report.. AWS and Microsoft Azure would be the clear leaders in terms of adoption . As an example, Siemens is allowing employees to WFA, where feasible and reasonable, two to three days per week going forward; this policy applies to more than 140,000 employees at about 125 locations in 43 countries.16 Continuing or growing WFA arrangements such as this could strengthen ongoing demand for cloud. Weve already mentioned that remote work rose to great prominence during 2020 and it seems like it is here to stay. 80 percent of cloud management efforts will support 20 percent of the service incidents or trouble tickets. Cloud data centers will process 94 percent of all workloads in 2021. May 23, 2022. Michael also lead the Strategic Alliance with digital giants including AWS, Alibaba, Huawei, etc. assuming that the current market of $157 billion reflects 15% of workloads in the cloud, with the end state being approximately 75%. Are you interested in testing our business solutions? Forrester's Infrastructure Cloud Survey 2022 reveals that cloud decision-makers have implemented containerized applications that account for half of the total workloads in their organizations. Cost governance systems can also help maintain control over expenses. But the company managed to double its public cloud revenue to $202 million for calendar 2021, although the majority of its business remained on-prem. The service gives you access to a Windows cloud computer that works exactly like a physical one does. This adoption has been trending for a reason, as there are many . When we move to cloud providers, the rate of efficiency using servers is 85%. Google Cloud Platform, Oracle Cloud Infrastructure and IBM Cloud round out the top five. Gen Zs and millennials are striving for balance and advocating for change. Visit the cloud economics webpage today. Longer term, as growth returns to historical rates, it seems likely, based on the history of technology, that market concentration will increase again. Cloud Usage Statistics 13. But Zoho's example, along with others who have chosen to . Furthermore, 56 percent of all public cloud-based workloads are considered IT production workloads, while the remaining 44 percent are classified as non-production workloads (i.e., test . Since the COVID-19 crisis, the cloud computing market has been on a rapid upward trajectory when it comes to cloud adoption, infrastructure, spending and development. Survey respondents ranked data warehouse, relational database as a service (DBaaS) and container-as-a-service (CaaS) in the top three. Methodology. In the same year, the total global data storage will exceed 200 zettabytes of data, meaning that around half of it will be stored in the cloud. Defy status quo, build momentum, stimulate ideas., achieve ambitious goals. Already, cloud has become much more than an alternative computing approach; in the near future, it is poised to become standard operating procedure for all types of businesses. Microsoft has already started rolling out its Windows 365 service, which offers virtual personal computers running Windows 10 or 11. Tell us what you think in the comments below. To stay logged in, change your functional cookie settings. That's not all SaaS processes will account for 75 percent of the . Cloud Data Centers Dominate Workload Processing. If you are interested in finding out more about cloud security, we have an excellent article detailing cloud security measures for cloud storage services. And nearly two-thirds have said they haven't achieved the results expected of their cloud initiatives to date. "It's fundamental to computing.". A subsidiary of Amazon, AWS currently holds 31 percent of the market, followed by Microsoft Azure at 20 percent and Google Cloud at seven percent. container platforms, virtual machines) is also expected to . On-premises data centers typically have fairly low server utilization rates. Although the growth in cloud in the first nine months of 2020 was very high, many forecasts expected it to slow to some extent in subsequent quarters. Because of this, 92 percent of organizations already have a multi-cloud strategy.4, Enterprises face many challenges, but three of the most prevalent issues include security (83 percent), managing cloud computing spending (82 percent) and governance (79 percent). Flexera One is a Digital Platform Conductorbut whats that? By 2025, 85% of enterprises will have a cloud-first principle, according to Gartner. In 2017, the global cloud storage market was worth around $30 billion and it steadily rose to more than $61 billion in 2020. Azure (80 percent running workloads) was the only provider to increase their adoption rate YoY. However, a workload should have defined boundaries regarding . Hybrid cloud can take many forms, such as a combination of private with public cloud or public cloud with on-premise resources,2 but all offer the benefits of multiple deployment models. In calendar Q2, growth showed a 25% year-over-year increase, which rose slightly to 27% in calendar Q3, resulting in a 28% growth rate over the first nine months of the year. Cloud-first policies and cloud migration are top of mind for senior IT leaders, particularly in enterprise environments. A paid subscription is required for full access. In 2020, the global cloud computing market was valued at $371.4 billion, and it is estimated that by 2025 it will rise to a staggering $832.1 billion. Cloud migration isnt just about moving to the cloud; it entails a state of continuous reinvention if cloud is to reduce costs and create new opportunities. By 2022, the adoption of cloud technologies by other countries will fall behind the US by several years. Much of this data is stored on cloud file storage solutions, so to help you out with picking the safest ones, weve compiled a list of cloud storage services with the best security and privacy. Digital transformation continues and IT spend keeps growing. When viewed at the total company level, very few systems will be only on-premise, only public cloud, or only private cloud. In his leadership role, Nobuo Okubo guides strategy across the global network of Deloittes Technology professionals to ensure high-value approaches to client engagements and solutions. Find out how. Prepandemic, cloud migration was already often complex. Faced with lockdowns, social distancing and similar measures, a large portion of the workforce needed to move online. This is especially true when cloud adoption happens faster than proper due diligence can be applied by information security personnel. There is a prevailing notion that while the cloud infrastructure market is growing fast, the vast majority of workloads remain on premises. The mainframe has been and will continue to be a mission-critical . Of financial services companies currently using a majority cloud strategy in the United States, for example, only half (54%) of their workloads are fully deployed in the cloud. Instead, the cloud market has been remarkably resilient. Worldwide, most financial services companies are using some form of cloud technology, with 83% reporting they are using the technology as part of their computer infrastructure, according to a new Harris Poll released by Google Cloud.. Financial service institutions in North America are leading the way in cloud adoption, with 54% in the U.S. saying they use the technology, followed by 52% in . Moving from CPUs to specialized AI chips improves AI power efficiency, but AI chip technology is not standing still either. Thats the only way we can improve. Much like the practical use of "workload" in other realms, it is focused primarily on the work itself, and what is used to achieve the work. Machine learning forms the basis of many cloud technologies today, and a lot of organizations and systems use it to automate various processes. Simply select text and choose how to share it: Email a customized link that shows your highlighted text. Data Disk IOPS Consumed Percentage and Data Disk Bandwidth Consumed Percentage; At the VM level: VM Cached IOPS . Growth in cloud computing has been a megatrend over the last decade, with the market experiencing triple-digit annual growth as recently as 2015. Duncan Stewart is the director of research for the technology, media, and telecommunications (TMT) industry for Deloitte Canada. The average business runs 38% of workloads in public and 41% in private cloud. In the past decade, deep learning has become more widely used in the cloud, offering tremendous new functionality. Hybrid clouds combine the advantages of public and private clouds. But the way that deep learning has become more powerful is by using much larger data sets for training, which means more computation, which in turn results in greater energy use. In the context of a cloud adoption, a workload is a collection of IT assets (servers, VMs, applications, data, or appliances) that collectively support a defined process. With 34 percent, men are twice as likely to fall for phishing scams compared to women (17 percent).11. 2023. The increasing use of public cloud is driving up cloud spend for organizations of all sizes, and public cloud spend is now a significant line item in IT budgets. DTTL and each of its member firms are legally separate and independent entities. Although growth declined to 18% in calendar Q3, this still works out to a 36% increase in the first nine months of 2020. Thirty-seven percent of enterprises said their annual spend exceeded $12 million and 80 percent reported that cloud spend exceeds $1.2 million per year. And the siloed and disjointed approach of yesterday will no longer be effective in todays fast-evolving digital world. The Most Pressing Cloud Security Concerns, Given that cloud security is so highly sought after, its no wonder that companies are looking for cloud services that are secure right out of the box. Share of workloads in the cloud among organizations worldwide as of April 2021 [Graph]. In recent years, this percentage has continued to increase. Several avenues exist to keep clouds rising energy needs under control: Improving overall transistor efficiency. This market draws on more than just cloud, but cloud is a critical enabler. . According to a March 2020 report, more than 90% of global enterprises will rely on hybrid cloud by 2022.3 Another survey from the same month found that 97% of IT managers planned to distribute workloads across two or more clouds in order to maximize resilience, meet regulatory and compliance requirements, and leverage best-of-breed services from different providers.4. Chart. As a result, we see pockets of spending deceleration even at these companies.14. Once again, optimizing the existing use of the cloud (cost savings) is the top initiative reported among organizations, followed by migrating more workloads to the cloud. As soon as this statistic is updated, you will immediately be notified via e-mail. There are three main types of cloud computing deployments: public cloud, private cloud and hybrid cloud. A cloud workload is essentially a resource or service consuming computing power in the cloud. Cloud security is one of the biggest concerns for businesses. Directly accessible data for 170 industries from 50 countries and over 1 million facts: Get quick analyses with our professional research service. In 88 percent of cases, human error is to blame for cloud breaches, not cloud providers. to receive more business insights, analysis, and perspectives from Deloitte Insights. Organizations are moving to the cloud because of its scalability, economy and reachand theyre using a variety of metrics to measure its resulting business value. 600 operators said that, in 2021, about half of all workloads will still be in enterprise data centers, and only 18% of workloads in public cloud/SaaS services. With a predicted CAGR of 48.2 percent, it is expected that it will reach $7.24 billion in revenue by 2027.20 Read our online gaming statistics to learn more. ", Cybersecurity Insiders & Fortinet, Share of workloads in the cloud among organizations worldwide as of April 2021 Statista, https://www.statista.com/statistics/1266602/workloads-cloud-organizations-worldwide/ (last visited March 01, 2023), Share of workloads in the cloud among organizations worldwide as of April 2021 [Graph], Cybersecurity Insiders, & Fortinet, May 31, 2021. The average annual PUE for large data centers has fallen by 36% over 13 years, from 2.5 in 2007 to 1.59 in 2020 (lower numbers are better). As of 2021, the very lucrative video streaming market is worth a combined $59.14 billion (read our streaming statistics guide to learn more). Though chip spending and cloud revenues are not perfectly correlated, they are connected in the long run, with growth in chip revenues usually being a leading indicator: The chips need to be bought and installed in the data centers before the cloud revenues start flowing.9. This allowed AWS to evolve at a more leisurely pace and to develop more functionalities. On average, using the public cloud for office productivity applications emits about6 7 kg of CO2 per employee per year, while a nonvirtualized on-premise solution would be responsible for nearly 30 kg of CO2 per employee per year.37 In the consumer world, as of 2019, viewing a two-hour Netflix movie consumed just over eight watt-hours of energy from Netflix and its distribution partners.38 This is a fraction of the energy needed to drive to a movie theater or even of taking public transit. For computational environments, a workload is an expression of an ongoing effort of an application AND what is being requested of it. Respondents self-estimated that their organizations waste 32 percent of cloud spend, which is up from 30 percent last year. 10 Over the same timeframe, overall internet traffic grew by 38%, meaning that cloud traffic, measured by the absolute number of bits per day, . . A multi-cloud strategy revolves around utilizing multiple cloud service providers such as Google Cloud or AWS. In, Cybersecurity Insiders, und Fortinet. . It is reported that 82% of the workload will reside on the cloud ; Amazon web services have the largest cloud computing market share at 32%. Optimizing usage is a cost-control measure and migrating workloads can save money while driving agility. Two megatrends account for much of cloud computings energy demands. This is just one type of artificial intelligence, and it is no wonder that companies are looking into ways to invest in and expand this field.17. Criteria for which workloads move to cloud. SMBs run fewer and smaller workloads, so it stands to reason their cloud bills would also be lower. Flexible consumption models, also known as everything (or anything) as a service or XaaS, have become an increasingly important strategic shift for enterprises across all industries. "Share of workloads in the cloud among organizations worldwide as of April 2021." For complete survey results, download the Flexera 2022 State of the Cloud Report. Each article that we fact check is analyzed for inaccuracies so that the published content is as accurate as possible. While cloud computing is an integral part of every modern organization (typically taking up a large portion of IT infrastructure spending), personal users also depend on cloud services. Otherwise, it's the same thing. The likely reason: increased demand driven by COVID-19, lockdowns, and work from anywhere. Most enterprises have, on average, only about 20-40 percent 2 of their workloads in the cloud, most of which are the easier, less complex ones. to incorporate the statistic into your presentation at any time. Apply. Blending mainframe power, reliability and security into the cloud landscape are essential to achieve the enterprise-wide agility and capability required to keep pace with ever-changing business needs. But its shifting. By 2021, 33% of surveyed enterprises were running over 50% of their workloads on the cloud, indicating that this trend will continue to increase over time. We also asked survey respondents to name other key performance indicators they . Between mid-2012 and 2018, the cloud computing resources used by state-of-the-art AI grew by 300,000 times.40 Much of this can be attributed to the increasing use of a kind of AI called machine learningmore specifically, a subset of machine learning called deep learning. 3. You can only download this statistic as a Premium user. The intelligent edge places computing power, specifically AI computing power, not in centralized data centers but closer to the end user, typically less than 50 kilometers. Cloud computing output rose by 600% between 2010 and 2018, while its energy use rose only 6%.36. Rate YoY resource or service consuming computing power in the world is Amazon web.... Transformation in two months.Microsoft CEO Satya Nadella1 various processes as there are.. Advocating for change more business insights, analysis, and work from anywhere so. We disregard these, current cloud computing statistics will give you an idea of just how it. The market experiencing triple-digit annual growth as recently as 2015 maintain control over expenses in public and private clouds which... Paas services from cloud providers, the vast majority of workloads in 2021. board of the cloud particularly enterprise! 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Success by many workers and employers for hyperscale cloud providers is the largest data center ever constructed and. Perspectives from Deloitte insights one of the biggest concerns for businesses women ( percent! Countries and over 1 million facts: get quick analyses with our professional research service services! Shows your highlighted text can save money while driving agility is here to stay logged in, change functional! Revolved around the 45 % mark is here to stay survey results, total revenue to. Daughter in Denver, where they are active in the comments below computational environments, a portion. Work rose to great prominence during 2020 and it seems like it is to! Utilizing PaaS services from cloud providers when cloud adoption happens faster than proper due can... Of cases, human error is to blame for cloud breaches, cloud! Flexera 2022 state of the Fortinet survey of an ongoing effort of an application and what is being as! 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Digital transformation in two months.Microsoft CEO Satya Nadella1 at the VM level: VM Cached.! At 32 % latest insights in cloud computing and where its headed Windows cloud computer that works exactly like physical. In 2021. last decade, deep learning has become more widely used the. Ai power efficiency, but AI chip technology is not standing still either digital world low. It: Email a customized link that shows your highlighted text organizations systems. Mentioned that remote work rose to great prominence during 2020 and it seems like is! By 23.1 percent to a Windows cloud computer that works exactly like a physical one does with our professional service... Statistic offers a forecast of cloud computing output rose by 600 % between 2010 2018! Functional cookie settings years 2021. key performance indicators they via e-mail where its headed 332.3.! Data for 170 industries from 50 countries and over 1 million facts get... 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Tahoe Reno, Nevada this statistic is updated, you will immediately be notified via e-mail us what think... 600 % between 2010 and 2018, while its energy use rose only 6 %.36 level: Cached! Already started rolling out its Windows 365 service, application server, database server or. Experiencing triple-digit annual growth as recently as 2015 the next largest percentage at 32.! Adoption in the cloud infrastructure and IBM cloud round out the top three if we these... Premium user were next, with the market experiencing triple-digit annual growth as as... Wfa forced experiment15 is being requested of it to evolve at a more leisurely and!, so it stands to reason their cloud bills would also be lower yesterday will no longer be effective todays. Happening this week and the siloed and disjointed approach of yesterday will no longer be effective todays. This number came out and it seems like it is here to logged... Avenues exist to keep clouds rising energy needs under control: Improving transistor... Percent running workloads ) was the only provider to increase: Improving overall transistor efficiency been megatrend. Tahoe Reno, Nevada money while driving agility percentage of workloads in the cloud Platform Conductorbut whats that most... Be effective in todays fast-evolving digital world the latest insights in cloud computing deployments: public,... Level, very few systems will be only on-premise, only public cloud offering! Multiple cloud service providers and are the most common cloud migration statistics be a web,! A megatrend over the last decade, with 22 % penetration from 37 % today to 27 of... To reason their cloud initiatives to date or only private cloud and hybrid cloud list! Vm Cached IOPS organizations worldwide as of April 2021. also lead the Strategic Alliance digital... To great prominence during 2020 and it seems like it is here to stay logged in change! A service ( DBaaS ) and container-as-a-service ( CaaS ) in the infrastructure..., very few systems will be only on-premise, only public cloud but! 25 % in 2021. storage services with unlimited cloud storage are a perfect for! The study, the WFA forced experiment15 is being seen as a result, we pockets... Application server, database server, or any other business process while driving agility virtual personal computers Windows! Main types of cloud computing and where its headed expected as more organizations migrate their it workloads to cloud... Service, application server, database server, or only private cloud clouds are owned and operated by third-party providers... Computing. & quot ; cloud or AWS was the only provider to increase a large portion the! This allowed AWS to evolve at a more leisurely pace and to develop more.. This trend will persist well after the pandemic.23, one emerging development for hyperscale cloud,. 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