We know that the hybrid cloud market is growing at a 30.16 percent CAGR from 2013-2018, making it a pretty ambitious market in the overall cloud landscape. But TechNavio thought it might be fun to go deeper, and really see what’s making the market tick.
With IEEE Cloud 2014 just around the corner, TechNavio analysts decided to pick the brains of some trendsetters and market leaders in cloud, including Cisco Systems, Red Hat, HP, CERN, SAP, oDesk and many others.
In fact, we talked to 100 cloud experts across different sectors in order to get a good idea of the present and future market for hybrid cloud computing technology in the IT sector, specifically in the European and the US markets.
It turns out that nearly half the survey respondents believe hybrid cloud contributes a whopping 16.3 percent of the total cloud market revenue.
Read on to see which sectors are expecting the highest penetration of hybrid cloud services, and how hybrid cloud as a service is expected to take off.
Need to Improve Organizational Productivity
For most organizations, growing organizational complexity because of an increase in infrastructure is a major concern. To make infrastructure provisioning and application deployment easier, enterprises are opting for hybrid cloud infrastructure, which offers flexibility to put workloads and data wherever required to help improve overall efficiency and extend business opportunities.
Enterprises are adopting hybrid cloud because it combines the public cloud, private cloud, and dedicated servers delivering a common architecture to create the best fit for specific business needs. In addition, virtualization of the network infrastructure increases infrastructure productivity considerably, and the hybrid cloud utilizes a virtualized computing resource infrastructure to cater to the business requirements of enterprises, thus driving higher organizational productivity.
This kind of flexibility and increased productivity can benefit any and all enterprises, but according to our survey respondents, some sectors will take to hybrid cloud far more readily than others. Not surprisingly, the information communication and technology (ICT) sector is at the forefront here, with a majority of respondents expecting a 33 percent market penetration.
BFSI, government, manufacturing, energy and power and healthcare are other sectors expecting to see an upsurge in hybrid cloud environments over the next few years.
Emergence of Hybrid Cloud as a Service
A major trend leading to this adoption is the increasing availability of hybrid cloud services from service providers. For instance, Fujitsu offers such hybrid cloud service based on Microsoft Windows Azure, which enables applications and systems to be interoperable. The service is offered for different scenarios, including when a business needs extra resources in the public cloud to support peak workloads.
According to our survey respondents, the top reason for adopting hybrid cloud as a service is cost savings, with 41 percent of respondents citing cost efficacy as an area where hybrid cloud diverges from traditional cloud solutions. 32 percent also said that good design and effective implementation makes a hybrid cloud environment much easier to manage.
Additionally, the majority of respondents said hybrid cloud as a service is beneficial to their organizations, as most companies have data that can be allocated to either public or private clouds. However, the survey also indicated that companies with highly-sensitive data (banks, and some government departments), might find hybrid cloud slightly less beneficial.
