The 2015 State of the Cloud Survey includes insights based on the responses of more than 900 IT professionals to give you a comprehensive picture of cloud adoption trends. The survey results provide the hard data you need to benchmark your organization against others of similar size, develop your 2015 cloud strategy and goals, and mobilize your internal stakeholders for cloud initiatives. Join our State of the Cloud webinar for a review of the key findings, including: -Trends in public, private, and hybrid cloud adoption -How many workloads and which types are migrating to cloud -How central IT is taking the reins by brokering cloud services -Adoption of the most popular DevOps tools, including Docker, Chef, and Puppet

1. 2015 STATE OF THE CLOUD WEBINAR

2. • Michael Crandell
• CEO
• Kim Weins
• VP Marketing
Panelists

3. • Survey Methodology
• Cloud Strategies
• Cloud Workloads
• Central IT Role in Cloud Adoption
• DevOps Adoption
• Cloud Benefits and Challenges
• Cloud Providers
Agenda

4. Polls

5. .
Cloud Adoption Is a Given
Central IT Taking the Lead to
Broker Cloud Services

6. • 79,635 people from the RightScale database were emailed
the survey
• 930 responses
• 306 enterprises (1000+ employees)
• 3.2% margin of error
• Respondents are not just RightScale users
• 24% are RightScale users
Methodology

7. 33%
22%
45%
Respondents by Company Size
930 respondents
Company Size
1001+
employees
101-1000
employees
1-100
employees
Source: RightScale 2015 State of the Cloud Report

8. 29%
29%
16%
7%
6%
5%
4%
4%
Respondents by Industry
930 respondents
Industry
Software
Tech
Services
Financial Services
Other
Media & Publishing
Education
Advertising & Agencies
Business Services
Source: RightScale 2015 State of the Cloud Report

9. 62%
18%
12%
8%
Respondents by Region
930 respondents
Region
North America
Source: RightScale 2015 State of the Cloud Report
Europe
Asia
Rest of World

10. 48%
14%
38%
Role of Respondents
930 respondents
Role of Respondents
Dev
Business
IT/Ops 21%
20%
18%
15%
13%
13%
Level of Respondents
930 respondents
Architect
Dir/Mgr
Exec
IT/Ops
Dev/QA
Other
Source: RightScale 2015 State of the Cloud Report Source: RightScale 2015 State of the Cloud Report

11. Cloud Maturity
10% 15% 23% 26% 26%
Cloud Maturity of Respondents
Cloud
Watchers
Cloud
Beginners
Cloud
Explorers
Cloud
Focused
No
Plans
Planning First project Apps running Heavy use
Source: RightScale 2015 State of the Cloud Report

12. Finding:
Hybrid Cloud Is (Even More)
the Strategy of Choice
for Enterprises

13. Cloud is a Given
Public Cloud
Only
Private Cloud
Only
93% of Respondents Are Using Cloud
58% 5%30%
Public
and Private
Source: RightScale 2015 State of the Cloud Report
Private = 63%Public = 88%

14. 82% of Enterprises Want Multi-Cloud
Single private
5%
Single public
10%
No plans
3%
Multiple private
14%
Multiple public
13%
Hybrid cloud
55%
82%
Enterprise Cloud Strategy
1000+ employees
Multi-Cloud
82%
Source: RightScale 2015 State of the Cloud Report

15. Finding:
More Enterprise Workloads in Private
Cloud but Public Cloud Accelerating

16. 7%
18%
12%
13%
18%
32%
10%
11%
16%
28%
31%
27%
42%
22%
13%
Virtualized
Environments
Private Clouds
Public Clouds
Number of VMs Enterprises Are Running in Cloud
None 1-50 VMs 51-100 VMs 100-1000 VMs 1000+ VMs
VMs Running in Cloud for Enterprises
Source: RightScale 2015 State of the Cloud Report

17. 7%
12%
23%
32%
14%
16%
28%
27%
27%
13%
Public Clouds in
1 Year
Public Clouds
Now
Number of VMs Enterprises are Running
in Public Cloud
None 1-50 VMs 51-100 VMs 100-1000 VMs 1000+ VMs
Growth in VMs Running in Public Cloud –
Enterprises
Source: RightScale 2015 State of the Cloud Report

18. 8%
18%
21%
18%
9%
11%
32%
31%
31%
22%
Private Clouds
in 1 yr
Private Clouds
Now
Number of VMs Enterprises are Running
in Private Cloud
None 1-50 VMs 51-100 VMs 100-1000 VMs 1000+ VMs
Growth in VMs Running in Private Cloud –
Enterprises
Source: RightScale 2015 State of the Cloud Report

19. 68%
32%
Enterprise Application Portfolio That Is in Cloud
Enterprises Run Fraction of Workloads in Cloud
Source: RightScale 2015 State of the Cloud Report
Less than 20% of
app portfolio is
in cloud
More than 20% of
app portfolio is
in cloud

20. 45%
55%
Enterprise Application Portfolio That is
Cloud-Ready
Plenty of Headroom for More Apps to Migrate
Source: RightScale 2015 State of the Cloud Report
Less than 20% of
app portfolio is
cloud-ready
More than 20% of
app portfolio is
cloud-ready

21. Finding:
Central IT Taking the Reins in Cloud
Adoption by Brokering Cloud Services

22. 62%
38%
Cloud Purchase Decisions in the Enterprise
Central IT Taking On Most Cloud Purchase
Decisions At the Enterprise
Central IT makes
less than half of
cloud purchase
decisions
Source: RightScale 2015 State of the Cloud Report
Central IT makes
more than half of
cloud purchase
decisions

23. 47%
2014
Central IT Concerns About Security Decline
41%
2015
Central IT Rating Cloud Security As Significant Challenge
Source: RightScale 2015 State of the Cloud Report

24. 18%
2014
Central IT Warms Up to Public Cloud
28%
2015
Enterprise Central IT Viewing Public Cloud As Top Priority
Source: RightScale 2015 State of the Cloud Report

25. 41%
18%
40% 40%
0%
20%
40%
60%
Works in Central IT Works in Business Unit
Respondents that see Central IT Role
to Broker Cloud Services
2014
2015
Central IT Emerges As a Cloud Broker
Source: RightScale 2015 State of the Cloud Report

26. 43%
41%
16%
Enterprises with Self-Service Portal
for Cloud Services
Cloud Services Portal are Table Stakes for the
Enterprise
Source: RightScale 2015 State of the Cloud Report
Have portal
Planning or
developing
portal
No plans

27. 40%
2014
And Fast-Provisioning to Cloud Is Ubiquitous
80%
2015
Enterprises with Self-Service Portal for Cloud Services
% Respondents with less than 1 hour provisioning time
Source: RightScale 2015 State of the Cloud Report

28. Finding:
DevOps Rises, Docker Soars

29. DevOps Adoption Rises in 2015
62%
66%
22%
19%
16%
15%
2014
2015
DevOps Adoption Up in 2015
Adopting DevOps Not adopting Don't Know
Source: RightScale 2015 State of the Cloud Report

30. Enterprises Adopt DevOps at Higher Rate
63%
71%
22%
13%
15%
16%
SMB
Enterprise
Enterprise vs. SMB DevOps Adoption
Adopting DevOps Not adopting Don't Know
Source: RightScale 2015 State of the Cloud Report

31. 3%
6%
10%
13%
24%
28%
11%
10%
10%
35%
19%
18%
0% 20% 40% 60% 80% 100%
Rocket
Salt
Ansible
Docker
Puppet
Chef
Respondents Using DevOps Tools
Use today
Plan to use
2015 DevOps Tools – All Respondents
Source: RightScale 2015 State of the Cloud Report

32. Finding:
Financial Benefits of Cloud
Show Strongest Gains;
Lack of Cloud Expertise Rises to #2
Challenge

33. 28%
34%
33%
34%
37%
33%
46%
48%
52%
53%
38%
39%
40%
40%
40%
41%
48%
51%
57%
57%
Move CapEx to OpEx
Cost savings
Higher performance
Business continuity
Geographic reach
IT staff efficiency
Faster time-to-market
Higher availability
Faster access to infrastructure
Greater scalability
Cloud Benefits 2015 vs. 2014
% of Respondents Reporting These Benefits
2015
2014
Financial Benefits From Cloud Show Strong
Growth in 2015
Source: RightScale 2015 State of the Cloud Report

34. 0%
20%
40%
60%
80%
100%
Cloud Beginners Cloud Explorers Cloud Focused
%ofRespondents
Benefits Grow with Cloud Maturity
% of Respondents Reporting These Benefits
CapEx to OpEx
Geographic reach
Higher performance
Cost savings
Business continuity
IT staff efficiency
Higher availability
Faster time-to-market
Greater scalability
Faster access to infrastructure
Benefits Grow with Cloud Maturity
Source: RightScale 2015 State of the Cloud Report

35. 17%
21%
21%
18%
24%
17%
26%
17%
23%
24%
25%
25%
27%
28%
Performance
Governance/control
Managing costs
Managing multiple cloud services
Compliance
Lack of resources/expertise
Security
Cloud Challenges 2015 vs. 2014
% of Respondents Reporting These As Significant Challenges
2015
2014
Lack of Expertise/Resources Becomes #2
Cloud Challenge
Source: RightScale 2015 State of the Cloud Report

36. 0%
20%
40%
60%
Cloud Beginners Cloud Explorers Cloud Focused
%ofRespondents
Challenges Decrease with Cloud Maturity
% of Respondents Reporting These As Significant Challenges
Lack of resources/expertise
Security
Compliance
Governance/control
Managing costs
Managing multiple cloud services
Building a private cloud
Performance
Challenges Decrease with Cloud Maturity
Source: RightScale 2015 State of the Cloud Report

37. Finding:
AWS Leads in Public Cloud ––
but Watch Out for Azure;
Private Cloud Stalls

38. 2%
6%
7%
9%
10%
10%
15%
19%
50%
7%
11%
13%
12%
14%
10%
20%
23%
20%
6%
6%
11%
9%
10%
7%
14%
13%
7%
0% 20% 40% 60% 80% 100%
HP Helion Public Cloud
IBM SoftLayer
Google IaaS
Google App Engine
VMware vCloud Air
Rackspace Public Cloud
Azure PaaS
Azure IaaS
AWS
Enterprise Public Cloud Usage
% of Respondents Running Applications
Running apps
Experimenting
Plan to use
Public Cloud Usage – Enterprises
Source: RightScale 2015 State of the Cloud Report

39. 4%
5%
4%
8%
18%
9%
12%
11%
49%
2%
6%
7%
9%
10%
10%
15%
19%
50%
HP Helion Public Cloud
IBM SoftLayer
Google IaaS
Google App Engine
VMware vCloud Air (vCHS)
Rackspace Public Cloud
Azure PaaS
Azure IaaS
AWS
Enterprise Public Cloud Usage 2015 vs. 2014
% of Respondents Running Applications
2015
2014
Public Cloud Usage YoY – Enterprises
Source: RightScale 2015 State of the Cloud Report

40. 2%
3%
4%
5%
6%
8%
9%
11%
61%
4%
8%
7%
17%
9%
14%
13%
8%
16%
5%
7%
7%
14%
12%
10%
11%
10%
7%
0% 20% 40% 60% 80% 100%
HP Helion Public Cloud
VMware vCloud Air
IBM SoftLayer
Google IaaS
Azure PaaS
Google App Engine
Azure IaaS
Rackspace Public Cloud
AWS
SMB Public Cloud Usage
% of Respondents Running Applications
Running apps
Experimenting
Plan to use
Public Cloud Usage – SMB
Source: RightScale 2015 State of the Cloud Report

41. 4%
6%
4%
4%
5%
10%
4%
13%
56%
2%
3%
4%
5%
6%
8%
9%
11%
61%
HP Helion Public Cloud
VMware vCloud Air (vCHS)
IBM SoftLayer
Google IaaS
Azure PaaS
Google App Engine
Azure IaaS
Rackspace Public Cloud
AWS
SMB Public Cloud Usage 2015 vs. 2014
% of Respondents Running Applications
2015
2014
Public Cloud Usage YoY – SMB
Source: RightScale 2015 State of the Cloud Report

42. PaaS Gets Used with IaaS
IaaS
Only
PaaS Only
PaaS Is Used in Conjunction with IaaS
15% 1%55%
Any IaaS &
Any PaaS
Source: RightScale 2015 State of the Cloud Report
PaaS= 16%IaaS= 70%

43. 11%
14%
18%
19%
26%
53%
15%
10%
22%
14%
15%
10%
11%
5%
10%
7%
8%
6%
0% 20% 40% 60% 80%
Microsoft Azure Pack
Citrix CloudStack
OpenStack
Microsoft System Center
VMware vCloud Suite
VMware vSphere/vCenter
Enterprise Private Cloud Usage
% of Respondents Running Applications
Running apps
Experimenting
Plan to use
Private Cloud Usage – Enterprises
Source: RightScale 2015 State of the Cloud Report

44. Not asked in 2014
13%
15%
21%
26%
52%
11%
14%
18%
19%
26%
53%
Microsoft Azure Pack
Citrix CloudStack
OpenStack
Microsoft System Center
VMware vCloud Suite
VMware vSphere/vCenter
Enterprise Private Cloud Usage 2015 vs. 2014
% of Respondents Running Applications
2015
2014
Private Cloud Usage YoY – Enterprise
Source: RightScale 2015 State of the Cloud Report

45. 4%
6%
6%
6%
10%
23%
9%
7%
9%
8%
18%
9%
9%
6%
7%
7%
11%
6%
0% 20% 40% 60% 80%
Microsoft Azure Pack
Citrix CloudStack
VMware vCloud Suite
Microsoft System Center
OpenStack
VMware vSphere/vCenter
SMB Private Cloud Usage
% of Respondents Running Applications
Running apps
Experimenting
Plan to use
Private Cloud Usage – SMB
Source: RightScale 2015 State of the Cloud Report

46. Not asked in 2014
4%
7%
8%
11%
24%
4%
6%
6%
6%
10%
23%
Microsoft Azure Pack
Citrix CloudStack
VMware vCloud Suite (vCD)
Microsoft System Center
OpenStack
VMware vSphere/vCenter
SMB Private Cloud Usage 2015 vs. 2014
% of Respondents Running Applications
2015
2014
Private Cloud Usage YoY – SMB
Source: RightScale 2015 State of the Cloud Report

47. • Get the 2015 State of the Cloud Report
• www.rightscale.com/2015-cloud-report
• Get the Definitive Guide to Cloud Portfolio Management
• www.rightscale.com/cloud-portfolio-management-guide
Q&A