Denodo published the results of its sixth annual cloud usage survey, which showed that cloud adoption continues to grow rapidly, with more than half (54 percent) of participants reporting that they are at an intermediate or advanced level of cloud usage.
Cloud-enabled business transformation has become a priority as organizations face global supply chain challenges, cybersecurity threats and geopolitical instability. As organizations of all sizes and verticals turn to the cloud to ensure flexibility and resilience to these challenges, SMEs have driven investment in cloud infrastructure services to support workload migration, data storage services and cloud-native application development.
Cloud-based data warehouses, data lakes and lake houses played a prominent role in 2021, being mentioned as both a top initiative (48 percent) and a top-use case (57 percent) by respondents. Hybrid cloud remains the preferred implementation model as it has been since the survey in 2020. This year, however, the gap between hybrid cloud and private cloud has widened dramatically. Hybrid cloud was chosen by almost twice as many respondents (37.5 percent) compared to pure public cloud with 20 percent. This year, it’s clear that the hybrid cloud is less a “choice” than a “necessity” and indicates that companies are not quite moving away from their on-premise systems, even though they have increased their cloud footprint. Businesses have good reasons to apply this mixed approach, including compliance with legislation, which may be why they choose not to abandon their on-premise systems as the technology landscape changes.
Regarding the data-driven nature of the companies participating in the survey, almost four out of five respondents (79 percent) mentioned the complexity of data integration, data availability and adaptability of different data formats as the main barrier to being data-driven. of the lack of analytical skills and resources to turn raw data into insights (62 percent). Data scientists also had a hard time. More than two out of five (44 percent) were unable to find, access, and analyze half or more of their data after adopting cloud technologies, and only 17 percent were able to access 75 percent or more of their data for use.
Switch to data virtualization
IT’s role in the cloud modernization journey has also changed. In 2020, the focus for IT professionals was on choosing the right cloud provider and managing the migration. But by 2021, these IT teams will be more focused on receiving the training needed to take their organization’s cloud systems to the next level (according to 31.3 percent of respondents), while other activities such as choosing a cloud provider and planning of cloud migration still remain important. Companies use the cloud for a variety of use cases, with reporting and dashboards, self-service BI and ad hoc analysis being the most popular, but respondents expect a shift towards data virtualization, data preparation and data quality in the future.
These use cases paint a vivid portrait of how many organizations are on their journey to the cloud. Firstly, it reflects that stakeholders within organizations are ready to make better use of their data, and secondly, it shows that organizations now want to get the most out of their cloud systems with robust cloud-based repositories. After heavy workloads have migrated to the cloud, the next step for many companies is to find a place to store the new data, which they then begin to acquire. Modern data management approaches such as logical data structure allow organizations to seamlessly adapt older systems to work with cloud systems.
When it comes to choosing cloud service providers, Microsoft Azure and Amazon Web Services (AWS) continue to dominate the market by a large margin, but this year, AWS (44.6 percent) has taken a significant lead over Azure (26.2) , after Azure stayed right ahead of AWS for two years in a row. The Google Cloud Platform (GCP) came in as the third most popular option (8 percent), according to the survey. In contrast, Alibaba jumped from 1.4 percent in 2021 to 3.6 percent this year.