A cloud-first approach to digital transformation
Automate Smarter | August 2023
Many businesses recognize the immense value of adopting a cloud-first approach to digital transformation. Why is a cloud-first strategy important? Effective cloud transformation delivers faster speed to market, scalability, agility, and lower costs. Forward-leaning organizations are modernizing cloud infrastructure and adopting services beyond basic computing and storage. One of the leading cloud modernization benefits is interoperability with cutting-edge technologies. This article delves into the reasons behind the explosion of a cloud-first approach, its place in the market, and its benefits to businesses like yours.
Too Big To Fail
Today, the cloud is dominating organizations’ digital business decision processes, investment strategies, and technology selections. As a result, the market for cloud computing expects to remain in overdrive, with companies looking to streamline their operations. According to Market.us, the cloud computing market is projected to surpass around $2.3 trillion by 2032, up from $633 million this year, growing at 16% annually over the next ten years.
Several factors are impacting the growth of cloud computing. Emerging technologies like Artificial Intelligence and Machine Learning drive cloud growth by allowing companies to tap into emerging capabilities. The increased adoption of SaaS applications and the emergence of remote work is leading to increased cloud consumption.
The Top 10 Leading Cloud Vendors
Many cloud vendors seek to transform from IT infrastructure providers to business partners by consulting customers on improving their business operations by leveraging cloud services. In addition, cloud providers are busy developing vertical clouds, also known as industry clouds, that are optimized for particular industries. The global top-10 cloud vendors by total revenue in 2023, according to Statista, are:
- Google Cloud
Peering into the Crystal Ball
The continued mass adoption of cloud computing has been a key driver of many of the most transformative tech trends, including artificial intelligence (AI), the Internet of Things (IoT), and remote and hybrid working.
Companies will continue to leverage cloud services to access new and innovative technologies and drive efficiencies in their operations and processes. Forbes reported trends that will have the most impact in 2023.
Trend #1 – Increased investment in cloud security and resilience
Trend #2 – Multi-cloud is an increasingly popular strategy
Trend #3 – The AI and ML-powered cloud
Trend #4 – Low-code and no-code cloud services
Trend #5 – Innovation and consolidation in cloud gaming
Cloud Computing’s Impact on Business Operations
Cloud computing has significantly impacted the operations of businesses. It offers various advantages like flexibility, scalability, collaboration, security, business intelligence, and affordability, which are crucial for companies to thrive in today’s competitive market. Cloud computing allows businesses to utilize technology resources as needed without significantly investing in hardware and software. According to CXO Outlook, this results in streamlined operations, enhanced teamwork, better data management, and improved security of sensitive information. Furthermore, the cost-effectiveness of cloud computing helps businesses reduce their IT costs and focus more on growth and innovation. Overall, cloud computing has been a transformative force for businesses of all sizes, and its impact will continue to expand as technology advances.
Banking and Finance Companies Tackle Modernization with Cloud
Two decades of technology-driven transformation have left many financial services firms with significant complexity and technical debt. While banking and finance organizations have aggressively moved workloads and apps to the cloud to meet changing customer needs, some still need to be bold in tackling the modernization of core infrastructure and systems, fearing disruption to the business. CIO.com reports that the benefits of cloud migration extend well beyond cost optimization and scalability. The cloud allows banking organizations to take core processes to the next level, build and customize new services, and monetize data. IT leaders at financial services companies recognize that cloud-driven modernization and innovation require an ecosystem of strategic partners and service providers with various skills and expertise.
Start Now, Think Big, Go Fast
Digital transformation can be challenging, and cloud computing is foundational to winning the game. Cloud eases and speeds the adoption of the complex ecosystem of technologies working in concert to modernize operations. Companies that embrace a cloud-first approach will do business faster, better, and cheaper. To understand how cloud computing can make a difference to your business strategy, let’s talk.