Hybrid Clouds Rise to Reshape IT and Business

Hybrid CloudsRise to Reshape IT and Business

An IDC Infobrief, sponsored by VMWare | August 2014

Hybrid

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An IDC InfoBrief, sponsored by VMWare

Hybrid Clouds Rise to Reshape IT and Business

N=711 Base=All Respondents Note: Managed by IDC’s Quantitative Research Group; Data Not Weighted; Multiple dichotomous table - total will not sum to 100%; Use caution when interpreting small sample sizes. Source: Hybrid Cloud Survey, IDC, June, 2014

Thinking about your organization’s overall IT environment, please indicate which types of IT sourcing and management models you have in place today.

Please indicate which types of IT sourcing and management models you expect to have implemented

within your organization the next 12-36 months.

Hybrid IT Sourcing is Widespread Today — And Will Continue Into the Future

Traditional in-house IT

Hosted/Managed Private Cloud

Virtual Private Cloud

Traditional Hosted, Co-Lo or Outsourced IT

Virtual servers

Public Cloud services

On-premise private cloud

Virtual Private Cloud

Hosted/Managed Private Cloud

Traditional in-house IT

Traditional Hosted, Co-Lo or Outsourced IT

Public Cloud services

Virtual servers

On-premise private cloud

TODAY FUTURE54.1% 45.0%

45.1% 42.9%38.5% 37.4%

33.6% 35.2%31.2% 28.8%29.1% 28.1%

22.8% 22.2%

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N=711 Base=All Respondents Note: Managed by IDC’s Quantitative Research Group; Data Not Weighted; Use caution when interpreting small sample sizes. Source: Hybrid Cloud Survey, IDC, June, 2014

64% of Organizations Identify Cloud Strategy as “Hybrid”Hybrid most often described as a mix of dedicated IT resources and public cloud services

Would you describe your organization’s current or planned

cloud strategy as hybrid cloud?

64%Yes

22%No

14%Unsure

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N=711 Base=All Respondents Note: Managed by IDC’s Quantitative Research Group; Data Not Weighted; Use caution when interpreting small sample sizes. Scale: 1-Not at all important 5-Critical Source: Hybrid Cloud Survey, IDC, June, 2014

70% Believe Hybrid Cloud is Critical or Very Important to Achieving Business Goals

On a scale of 1-to-5, how important will hybrid cloud environment be in helping your organization achieve its business goals and compete effectively in 2020?

1 = Not at all important

2

3

4

5 = Critical

Top 2 Box

Bottom 2 Box

0 10 20 30 40 50 60 70 80

70%Believe Hybrid Cloud is Critical

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Hybrid Cloud Users Do Better at Enabling Business AgilityOrganizations with hybrid cloud more than twice as likely to believe central IT supports business needs very well

Base=All Respondents Note: Managed by IDC’s Quantitative Research Group; Data Not Weighted; Use caution when interpreting small sample sizes. Source: Hybrid Cloud Survey, IDC, June, 2014

How well does your central/corporate IT organization currently meet the needs of the business?

57%

22.4%

39.5%

69.8%

3.5%

6.7%

Hybrid Cloud (N=456)

Non-Hybrid (N=255)

Very Well Adequately Poorly Unsure

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Hybrid Cloud to Drive Future Revenue & GrowthMore than half of hybrid cloud organizations believe most of future revenue tied to cloud


Many organizations are planning to increase spending on cloud technology to create new business opportunities, enter new markets and reach new audiences. How much of your organization’s future revenue and business growth will be tied to these new technologies?

100% 80-99% 60-79% 40-59% 20-39% 10-19% Under 10%


9.9% 14.9% 29.4% 25.0% 13.6% 5.3%

Non-Hybrid (N=255)

9.0% 25.9% 23.5% 25.9%7.8%

4.7% 3.1%

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N=456 Base=Respondents have current or planned cloud strategy as hybrid cloud Note: Managed by IDC’s Quantitative Research Group; Data Not Weighted; Multiple dichotomous table - total will not sum to 100%; Use caution when interpreting small sample sizes. Source: Hybrid Cloud Survey, IDC, June, 2014

Key Benefits to Hybrid Cloud Adoption: Control and Agility

Control critical assets & info combined w/ public cloud agility

Consistent end user exp via self-svc portal & automation

Business agility & differentiation

Optimized cost & performance

Business continuity/DR

Best leverage in house IT skills

51.5%

45.6%

45.6%

46.1%

29.6%

25.2%

What benefits do you expect your organization to get from adopting a hybrid cloud strategy?

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Most Strategic Hybrid Cloud Workloads: Big Data & Analytics, Ecommerce, and Collaboration


Big Data & Analytics

E-commerce/customer/partner svcs

Collaboration/end user productivity

On demand compute & storage

Virtual Desktop (VDI)

Logistics/inventory/supply chain mgt

44.3%36.4%36.3%

35.7%35.4%35.4%

For which types of applications and workloads is your organization’s cloud strategy the most strategic to the success of the application or workload?

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Hybrid Cloud Organizations More Likely to Manage Security Infrastructure Changes


In the wake of incidents such as the Target data security breach and the Snowden infiltration of government information systems, how differently are you managing your cloud infrastructure to satisfy Business and IT requirements?

40.4%

13.7%

35.5%

44.3%

24.1%

42.0%


Non-Hybrid (N=255)

Extremely different Somewhat different No effect

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Ability to Enforce Security and SLA Policies Critical to Success of Cloud Strategies


Which of the following technologies and processes are most critical to the successful execution of your organizations cloud strategy over the next five years?

Security & compliance process

Monitor/enforce std SLAs & end user exp

Software-defined data center technology/automation

APIs

Unified svc catalog for end-user self-service

Automation

53.6%

40.1%

36.6%

36.6%

31.5%

31.5%

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Integration with Non-Cloud Resources Most Important to Cloud Strategy Success


Integration w/ non-cloud resources

Coordination between biz & IT

User security & access control

Connection to existing data/data centers

Use of automation & self-service

Confidential data &IP protection

42.9%40.6%

37.7%36.3%

34.6%32.3%

Which of the following technologies and processes are most critical to the successful execution of your organizations cloud strategy over the next five years?

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Most Important Roles for Central IT by 2020


What do you see as the most important role(s) for the Central IT organization by 2020?

Manage selection & quality public cloud services

Optimize all IT spend & chargeback as appropriate

Maintain central app/dev/test/QA

Enable seamless self-service across

all internal &external IT

Manage end user devices and apps

Internal provider of IT infrastructure to BUs

51.9%

49.2%

45.1%

42.9%

41.6%

40.2%

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Shared LOB/IT Decision Making Becomes the Norm

Shared More Evenly by 2020• Overall Cloud Strategy • Standards, SLAs & Governance • Public Cloud Services • Business Process Automation • Mobile Computing • End-User Support

Led by LOB by 2020• Risk/compliance management

Led by Central IT by 2020• App/dev/QA Modernization • Big Data • Security/ID/Access Mgt • IT Infrastructure Operations