4 Trends Impacting Cloud Investments

Posted by Jeff Pelliccio on Jun 22, 2018 9:00:00 AM

In ICS insights

The cloud is constantly changing the structure and function of the IT world. In the past few years, individuals have had the opportunity to see how the cloud has evolved and how large industries and companies have been changing practices internally to a response that looks more like the innovation that has been read about – and that many, mainly in the Valley, believe exists as a priori virtually everywhere.

Today, the client-server definition has changed. Higher levels of abstraction and the ability to ship code without much care about the server going mainstream is happening while cloud vendors keep replacing the traditional IT stack.

Unfortunately, software issues are continuing to disrupt the way companies and a large number of industries are doing business, and cloud computing is now working to accelerate this trend. As a result, companies are continuing to invest in software building, and their own internal skill set to make this possible.

Here, you can learn more about the main trends that are impacting the way that companies will invest in the cloud during 2018.  

1. The Next Big Shift in Enterprise is Cloud-Enabled Software

Vendors in the public cloud industry are, essentially, turning into software vendors. This is creating a huge shift in how everyone thinks about the role of cloud providers, as well as cloud computing in an organization.

In 2018, it’s expected that this trend is going to gain additional traction as more and more enterprises are moving their workloads to the public cloud. As a result, more are going to take the next step in the process, using cloud software components and technologies for building new capabilities into the software they use.  As cloud is becoming more about software, and the primitives that provide all new capabilities, this has triggered the need for all new skills across all types of organizations.

2. Growth Will be Seen in Investments and Skills Strategy

Do you know how enterprises will compete in a digital world where the software in place is an essential component of services and products? One of the best places to start is by ensuring the right skills are had – in-house.

The current demand for more advanced skills for the cloud and in software development is currently much larger than the existing pool of talent. Additionally, the resources available are unable to provide the needed support. There’s no indication that this gap is one that will shrink throughout the course of 2018.

One of the top public cloud vendors in place today, AWS has led the pack throughout 2017, having an average of approximately 3.5 new feature releases each day. Companies using any Google Cloud, Microsoft Azure, or AWS platform components in their existing infrastructure can’t risk the maintenance and development delays because of the skill gaps in place. What’s even more unacceptable to the management of various companies is the inability to implement brand new security services or to effectively deliver on the projected costs.

As a result of this, it is necessary for companies to ensure their teams' skills are always kept updated to ensure their software is maintained and to allow them to take advantage of the latest technologies and services that the platforms have to offer.

As skills are still considered a critical asset, and with the competition for tech talent continuing to heat up, it’s expected that companies are going to make an even larger investment in building the skills from within their company or organization and rely even less on the outsourcing of these services. The fact is, investing in the existing teams will help to pave the way for the scale and the growth that will be needed tomorrow.

3. A Doubling Down on the Creation of Certification Paths by Enterprise Companies

Due to the growing number of options present all across the cloud ecosystem, there’s been more complexity for enterprises. The internal requirements for cost and performance savings are now driving more and more companies to adopt a multi-cloud environment.

By doing this, companies are able to utilize a best fit or apply best tech option that ensures the flexibility for teams. Now, teams are able to build highly customized environments that have specific technology and tool combinations to help maintain legacy applications, limit or modify the way that teams and developers consume services, and to handle regulatory compliance on several platforms, including Google, Azure, and AWS.

In addition to this, many more companies are now using cloud technologies for building their products and services, and in some cases have the necessary requirements for the capabilities and skills that they desire on their teams. As the cloud environments are getting more and more customized, the teams are going to need even more skills that are able to meet the needs of their company or business and not specifically for a single vendors platform’s requirement.

It’s for these reasons, and several others, that in 2018, you will see more companies that are doubling down on the process of creating their very own certification paths that are able to align with the particular skill requirements by job function, domain, and technology.

4. The Necessity to Design and Execute a Multi-Year, Sound Transformation Strategy for the Cloud

When discussing the cloud today, rather than chatting about the migrations to Azure or AWS, as well as the proper conditions for the migration process, the conversation has somewhat shifted. It’s now about defining the proper cloud transformation strategy.

The process of being cloud-native and having the ability to implement DevOps methodologies are extremely complex organizations for the majority of companies – and the changes necessitate both cultural and technical shifts in an organization. For 10,000 plus person organizations, it is necessary to successfully design a strategy that will address the culture, applications, and tools that can successfully be scaled to support the different teams and roles present. In fact, now the C-Suite is going to be pressured to focus on measurement, and as a result, they will look for various ways to track the progress in these particular areas as time passes.

There’s no question that the ability to fully transform how an organization works is quite a bit of hard work. The process of moving to the DevOps will require very careful planning since there are changes to many departments, processes, and people.

During 2018, more companies are going to invest both money and time in the tools and the people who support the design, as well as the implementation of strategies for cloud migration. On the side of the equation that involves people, there will be an effort to consolidate both internal and external training solutions to a single solution that is going to support a company’s full path to complete transformation.

Moving Forward

There are already companies that are moving toward this goal and direction. In the future, there’s going to be additional movement.

By being informed and knowing the latest developments in 2018 for the cloud, companies, and enterprises of all sizes will be able to make changes and achieve the goals they have set while embracing all that the cloud – both public and private – has to offer.

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