Thursday, 20 July 2017 08:01

Large companies largely cloud-bound

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A new survey of large companies — those with at least 100 employees — in Australia and New Zealand has confirmed the trend to moving applications to the cloud, though there are still some concerns.

Pure Storage's Evolution study surveyed 9302 IT decision makers in the US, EMEA and Asia Pacific, with an unspecified number in Australia and New Zealand.

About 40% of ANZ respondents said they run applications and storage on-premises, which on the face of it means 60% don't.

But the survey also found 25% of respondents have applications running in private clouds, without differentiating those located on-premises from those that are actually in the cloud. So the actual percentage with applications on-premises is somewhere between 40% and 65%, which is a rather wide band.

About 27% said they have applications running in public clouds, and 24% use SaaS. So the actual percentage with applications running in the cloud is somewhere between 27% (if all SaaS users also have other public cloud applications) and 76% (if SaaS and other public cloud apps are mutually exclusive, and if all private clouds are off-premises).

The total is more than 100% as organisations may run applications in more than one place.

Those numbers may be set to increase, with 50% of ANZ respondents planning to move business critical workloads to public cloud in the next 18-24 months, with the rest planning to adopt private cloud solutions.

But it's not a one-way transfer: 34% said they have moved workloads from public cloud back on-premises, most commonly because of security concerns.

"Australian and New Zealand businesses have faced a colossal shift in infrastructure in light of digital transformation over the last few years. But this drive to digital hasn't translated into a headlong rush to public cloud, like in other regions, making it clear that organisations across ANZ are being thoughtful about how they store, collect, and use data," said Pure Storage ANZ regional vice-president Mike Sakalas.

"Local enterprises are learning that if they want to build out a new class of Web-scale applications and leverage the latest in predictive analytics, AI, and machine learning, they need the right data strategy and platform."

At a regional level, the survey found 54% of APJ businesses plan to increase public cloud usage over the next 18-24 months, compared to 58% in Europe, the Middle East, and Africa, and 69% in North America.

A total of 38% of APJ companies that ran workloads in public cloud environments have moved some or all of those workloads back on-premises, and 29% said they have reduced use of public cloud in the past 12 months because of security concerns.

The Evolution survey report is available for download (registration required).


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Stephen Withers

Stephen Withers is one of Australia¹s most experienced IT journalists, having begun his career in the days of 8-bit 'microcomputers'. He covers the gamut from gadgets to enterprise systems. In previous lives he has been an academic, a systems programmer, an IT support manager, and an online services manager. Stephen holds an honours degree in Management Sciences and a PhD in Industrial and Business Studies.

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