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State of the Hybrid Cloud
Research Report
January 2016
2
Table of Contents
State of the Hybrid Cloud Research Report
Introduction
Methodology
The World is Moving to Cloud
Drivers and Inhibitors of Workloads in the Public Cloud
The Future is Messy / It Helps to Have a Guide
Advice for Making the Transition to Hybrid Cloud
Summary
3
4
5
10
12
13
14
State of the Hybrid Cloud Research Report | January 2016
3
Introduction
In today’s digital world, it seems as though change is the only constant. Organizations continue their
journey to “software-defined” and look for ways to best leverage cloud services in all their flavors.
There are reasons for this change, of course: IT looks to better support the needs of the business­
– at the speed of the business. And this means becoming more agile, streamlining operations, and
reducing costs to free up resources that can be repurposed. However, the need to go faster and be
more responsive can lead to IT environments that are more fragmented and disparate - and ultimately
more fragile. This fragmentation complicates one other important responsibility of IT - the efficient
management and protection of the company’s information assets.
And that’s where we come in. At Veritas, we create information management solutions that help IT
organizations better manage and protect their applications and information no matter how complex or
heterogeneous their infrastructure. As much of the data center fragmentation is driven by digitalization
and cloud technologies, we commissioned the State of the Hybrid Cloud Research Report in the fall of
2015 to shed light on how organizations are leveraging on and off-premises clouds today as well as their
plans for the future.
State of the Hybrid Cloud Research Report | January 2016
4
Over 1,800 global IT decision makers in enterprises with
500 or more employees and at least 75TB of data under
management.
Methodology
State of the Hybrid Cloud Research Report | January 2016
5
In fact, 38 percent of workloads today
exist in a private cloud with 28 percent
in public clouds. Those numbers are
expected to grow at a rate of 7 percent
and 18 percent respectively over the
next 12 months. Traditional on-premises
workloads today account for 34 percent
of all workloads, but according to
the data, that number is expected to
decrease by 36 percent over the next 12
months.
The World is Moving to Cloud
Today, the combined
percentage of public
and private cloud-based
workloads is 66 percent,
with traditional on-
premises workloads at 34
percent.
MIGRATION PATHS OF
ENTERPRISE WORKLOADS
State of the Hybrid Cloud Research Report | January 2016
6
A common perception is that less important
workloads will migrate to the cloud at a much
faster rate than critical workloads. The data
suggests otherwise. Top workload types
identified include mission-critical applications
like CRM and ERP. Across the board,
workloads of all types and criticality are
migrating to the public cloud at statistically
similar rates.
Any reticence organizations may have
had about trusting cloud seems to have
dissipated from an operational standpoint.
However, this puts additional pressure on
service providers to ensure high availability
measures are in place to protect against
application failure in addition to disruptions
due to infrastructure downtime.
EVEN CRITICAL
WORKLOADS ARE
MIGRATING TO
PUBLIC CLOUD
Data
warehousing
Backup and
recovery
Big data
processing
Now
24mo. Future
28%
52%
74%
31%
52%
72%
28%
54%
77%
25%
52%
74%
29% 55% 76%
Relational/OLTP
CRM
State of the Hybrid Cloud Research Report | January 2016
7
However, it’s also clear from the data that
organizations are not going to move entirely
to the cloud. This means that IT departments
will have to continue to manage information
disbursed across a heterogeneous
environment made up of traditional and cloud
technologies. A centralized tool to manage
the high availability and disaster recovery
aspects of such a mixed infrastructure will
become increasingly important.
Over the next 24 months,organizations
look to roughly double the percentage of
workloads in the public cloud across the
board.
MOVING WORKLOADS TO THE PUBLIC CLOUD
It Will be a Hybrid World
State of the Hybrid Cloud Research Report | January 2016
8
ENTERPRISES ARE BALANCING
MANAGEMENT COMPLEXITIES
ACROSS MULTIPLE CLOUD
INFRASTRUCTURE PLATFORMS
However, what’s interesting is that workloads are
not heading to just one vendor’s public/private cloud
infrastructure. Rather the data suggests that even
today roughly 74 percent of enterprises leverage two
or more cloud infrastructure vendors to support their
workload requirements.
While this is not necessarily surprising, it’s further
evidence of how fragmented IT is becoming in this
digital age. For IT, this adds pressure to ensure
information is adequately protected, managed, and
ideally leveraged for decision making across an
increasingly mixed and disparate environment.
For example, it is doubtful that Amazon Web
Services™ will provide the tools necessary to
manage information assets located in Microsoft’s
Azure® cloud or vice versa. This will be IT’s burden
to bear.
23%
74%
use
multiple
cloud
vendors
using
four or
more
vendors
State of the Hybrid Cloud Research Report | January 2016
9
Globally, cloud migration proceeds at varying rates, with Japan and Brazil reporting roughly 50 percent more
workloads moved to the public cloud than the U.S., Canada, France and Germany. You would expect the U.S.
to be among the leaders when it comes to workloads in the cloud, but the data clearly shows other countries
are further down that path. By industry, manufacturing shows roughly twice as many workloads in the public
cloud as the public sector.
As mentioned above, enterprises are embracing cloud. The Veritas State of Hybrid Cloud Study also explored what
is driving this migration as well as what factors are holding it back.
State of the Hybrid Cloud Research Report | January 2016
10
Drivers and Inhibitors of Workloads
in the Public Cloud
What is driving organizations to move more workloads
to the public cloud? Cost is a big driver, mentioned by
more than a third of the respondents as being their top
reason.
This is followed by a mix of IT agility measures: The
capability to burst capacity and speed in provisioning
new workloads.
Particularly interesting however, is that while security
remains the number one reason for why organizations
are avoiding the public cloud, it’s also the top driver
of satisfaction with the public cloud - highlighting the
significant advancements in security capabilities public
cloud vendors have made.
As one respondent remarked, “I would have adopted
cloud earlier had we known how secure and safe it
actually was.”
CostsSecurity
of data
Provisioning
Speed
Capability
to burst
capacity
$
Less risky
Easier service level
management
Burst capacity
Control over certain
workloads
Public cloud still a relatively
unproven solution
Don’t want to be locked
into public cloud vendors
24%
19%
17%
11%
14%
8%
7%
Need to keep confidential
data in country/on-site
Security/protection
architectures
Control
Performance
Cost
Legacy investment
Customization
requirements
Currently coordinating
move to the cloud
Fear of the unknown
No perceived need
50%
36%
35%
28%
30%
23%
22%
15%
12%
11%
Need to keep confidential
data in country/on-site
Drivers of high satisfaction
with the cloud
Why respondents are
avoiding the public cloud
Why respondents choose
private over public cloud
DRIVERS & INHIBITORS
State of the Hybrid Cloud Research Report | January 2016
11
Many organizations continue to push
workloads to private cloud infrastructure
rather than public, driven by certain factors
that keep popping up.
The need to keep confidential data in
country/on-site is at the top of that list
followed by the perception that private
clouds are less risky and service level
management is easier.
The fear of being locked into public cloud
vendors is a commonly assumed explanation
for why organizations choose private over
public cloud infrastructure. However, the
data clearly shows that this is much less a
driver than other factors.
State of the Hybrid Cloud Research Report | January 2016
12
While organizations are rapidly migrating workloads to the public cloud, the data clearly shows that this is not a
complete migration. A sizeable number of respondents said that certain workloads would always remain on-premises
in either traditional or private cloud infrastructure.
For example, 28 percent say this about backup and recovery, 27 percent for disaster recovery and 26 percent for
archive, data warehousing, and relational or OLTP databases.
The future will be a mix of traditional on-premises, private and public clouds. Exacerbating the heterogeneity is the fact
that 74 percent currently use multiple cloud infrastructure vendors with 23 percent using four or more vendors. Note
that more heavily regulated industries (ex: healthcare or financial) corresponds with a greater number of cloud vendors
in use.
The Future is Messy
It Helps to Have a Guide
Not surprisingly, with such a messy, heterogeneous future, 81 percent of enterprises rely on
service providers for help with implementation as well as ongoing operations. Those who
report “always using service providers” for implementation are twice as likely to say their
cloud system(s) have exceeded their expectations (53 versus 26 percent). A similar result
is reported when using service providers for ongoing support, where 50 percent of those
always using a service provider for ongoing support said their expectations were exceeded
versus just 30 percent for those who never use a service provider.
State of the Hybrid Cloud Research Report | January 2016
13
Cloud adoption is well underway, and traditional on-premises infrastructure is not going away. Organizations are
looking at hybrid models to take advantage of the cost advantages and increased IT agility that comes from the
cloud while mitigating the risks of security, confidentiality, and loss of control.
Advice for Making the Transition to Hybrid Cloud
Here are four steps we recommend to maximize the agility and minimize the
risks in hybrid cloud environments:
Find and understand the
blind spots fragmented hybrid
cloud architectures create as
information flows through and
across different private and
public cloud environments.
1
Keep complete business
services and applications
healthy and available –
not just their underlying
infrastructure components.
2
Protect, manage, and
govern all of the data that
flows through your complex,
multi-vendor hybrid cloud
environment as a unified
whole.
3
Consistently monitor
and test the health of your
complete hybrid cloud services
and applications.
4
Veritas is ready to help you embrace the agility of hybrid cloud architectures while avoiding the risks. Learn more
about our family of information management solutions and services already trusted by IT organizations worldwide.
For more information visit: https://www.veritas.com/solution/multi-vendor-hybrid-cloud
State of the Hybrid Cloud Research Report | January 2016
Hybrid cloud architectures are the preferred model for enterprises. Workloads are migrating
to a multitude of different cloud vendors with mission-critical workloads moving at a similar
rate as lower-tier workloads. This puts pressure on IT and cloud providers to ensure proper
solutions that help maintain data visibility, management, and control are in place. To help drive
successful outcomes, organizations look to partners to help manage the chaos.
At Veritas, we design solutions to help customers better manage and protect their information
regardless of the scale, complexity, or heterogeneity of their environment. Learn how Veritas
can help you with your hybrid cloud initiatives.
For more information visit: https://www.veritas.com/solution/multi-vendor-hybrid-cloud
Summary
14
About Veritas Technologies Corporation
Veritas Technologies Corporation enables organizations to harness the power of their information, with solutions
designed to serve the world’s largest and most complex heterogeneous environments. Veritas works with 86 percent
of Fortune 500 companies today, improving data availability and revealing insights to drive competitive advantage.
© 2015 Veritas Technologies LLC. All rights reserved. Veritas and the Veritas Logo are trademarks or registered trademarks of Veritas
Technologies LLC or its affiliates in the U.S. and other countries. Other names may be trademarks of their respective owners.

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veritas-state-of-the-hybrid-cloud-report-2016

  • 1. State of the Hybrid Cloud Research Report January 2016
  • 2. 2 Table of Contents State of the Hybrid Cloud Research Report Introduction Methodology The World is Moving to Cloud Drivers and Inhibitors of Workloads in the Public Cloud The Future is Messy / It Helps to Have a Guide Advice for Making the Transition to Hybrid Cloud Summary 3 4 5 10 12 13 14
  • 3. State of the Hybrid Cloud Research Report | January 2016 3 Introduction In today’s digital world, it seems as though change is the only constant. Organizations continue their journey to “software-defined” and look for ways to best leverage cloud services in all their flavors. There are reasons for this change, of course: IT looks to better support the needs of the business­ – at the speed of the business. And this means becoming more agile, streamlining operations, and reducing costs to free up resources that can be repurposed. However, the need to go faster and be more responsive can lead to IT environments that are more fragmented and disparate - and ultimately more fragile. This fragmentation complicates one other important responsibility of IT - the efficient management and protection of the company’s information assets. And that’s where we come in. At Veritas, we create information management solutions that help IT organizations better manage and protect their applications and information no matter how complex or heterogeneous their infrastructure. As much of the data center fragmentation is driven by digitalization and cloud technologies, we commissioned the State of the Hybrid Cloud Research Report in the fall of 2015 to shed light on how organizations are leveraging on and off-premises clouds today as well as their plans for the future.
  • 4. State of the Hybrid Cloud Research Report | January 2016 4 Over 1,800 global IT decision makers in enterprises with 500 or more employees and at least 75TB of data under management. Methodology
  • 5. State of the Hybrid Cloud Research Report | January 2016 5 In fact, 38 percent of workloads today exist in a private cloud with 28 percent in public clouds. Those numbers are expected to grow at a rate of 7 percent and 18 percent respectively over the next 12 months. Traditional on-premises workloads today account for 34 percent of all workloads, but according to the data, that number is expected to decrease by 36 percent over the next 12 months. The World is Moving to Cloud Today, the combined percentage of public and private cloud-based workloads is 66 percent, with traditional on- premises workloads at 34 percent. MIGRATION PATHS OF ENTERPRISE WORKLOADS
  • 6. State of the Hybrid Cloud Research Report | January 2016 6 A common perception is that less important workloads will migrate to the cloud at a much faster rate than critical workloads. The data suggests otherwise. Top workload types identified include mission-critical applications like CRM and ERP. Across the board, workloads of all types and criticality are migrating to the public cloud at statistically similar rates. Any reticence organizations may have had about trusting cloud seems to have dissipated from an operational standpoint. However, this puts additional pressure on service providers to ensure high availability measures are in place to protect against application failure in addition to disruptions due to infrastructure downtime. EVEN CRITICAL WORKLOADS ARE MIGRATING TO PUBLIC CLOUD Data warehousing Backup and recovery Big data processing Now 24mo. Future 28% 52% 74% 31% 52% 72% 28% 54% 77% 25% 52% 74% 29% 55% 76% Relational/OLTP CRM
  • 7. State of the Hybrid Cloud Research Report | January 2016 7 However, it’s also clear from the data that organizations are not going to move entirely to the cloud. This means that IT departments will have to continue to manage information disbursed across a heterogeneous environment made up of traditional and cloud technologies. A centralized tool to manage the high availability and disaster recovery aspects of such a mixed infrastructure will become increasingly important. Over the next 24 months,organizations look to roughly double the percentage of workloads in the public cloud across the board. MOVING WORKLOADS TO THE PUBLIC CLOUD It Will be a Hybrid World
  • 8. State of the Hybrid Cloud Research Report | January 2016 8 ENTERPRISES ARE BALANCING MANAGEMENT COMPLEXITIES ACROSS MULTIPLE CLOUD INFRASTRUCTURE PLATFORMS However, what’s interesting is that workloads are not heading to just one vendor’s public/private cloud infrastructure. Rather the data suggests that even today roughly 74 percent of enterprises leverage two or more cloud infrastructure vendors to support their workload requirements. While this is not necessarily surprising, it’s further evidence of how fragmented IT is becoming in this digital age. For IT, this adds pressure to ensure information is adequately protected, managed, and ideally leveraged for decision making across an increasingly mixed and disparate environment. For example, it is doubtful that Amazon Web Services™ will provide the tools necessary to manage information assets located in Microsoft’s Azure® cloud or vice versa. This will be IT’s burden to bear. 23% 74% use multiple cloud vendors using four or more vendors
  • 9. State of the Hybrid Cloud Research Report | January 2016 9 Globally, cloud migration proceeds at varying rates, with Japan and Brazil reporting roughly 50 percent more workloads moved to the public cloud than the U.S., Canada, France and Germany. You would expect the U.S. to be among the leaders when it comes to workloads in the cloud, but the data clearly shows other countries are further down that path. By industry, manufacturing shows roughly twice as many workloads in the public cloud as the public sector. As mentioned above, enterprises are embracing cloud. The Veritas State of Hybrid Cloud Study also explored what is driving this migration as well as what factors are holding it back.
  • 10. State of the Hybrid Cloud Research Report | January 2016 10 Drivers and Inhibitors of Workloads in the Public Cloud What is driving organizations to move more workloads to the public cloud? Cost is a big driver, mentioned by more than a third of the respondents as being their top reason. This is followed by a mix of IT agility measures: The capability to burst capacity and speed in provisioning new workloads. Particularly interesting however, is that while security remains the number one reason for why organizations are avoiding the public cloud, it’s also the top driver of satisfaction with the public cloud - highlighting the significant advancements in security capabilities public cloud vendors have made. As one respondent remarked, “I would have adopted cloud earlier had we known how secure and safe it actually was.” CostsSecurity of data Provisioning Speed Capability to burst capacity $ Less risky Easier service level management Burst capacity Control over certain workloads Public cloud still a relatively unproven solution Don’t want to be locked into public cloud vendors 24% 19% 17% 11% 14% 8% 7% Need to keep confidential data in country/on-site Security/protection architectures Control Performance Cost Legacy investment Customization requirements Currently coordinating move to the cloud Fear of the unknown No perceived need 50% 36% 35% 28% 30% 23% 22% 15% 12% 11% Need to keep confidential data in country/on-site Drivers of high satisfaction with the cloud Why respondents are avoiding the public cloud Why respondents choose private over public cloud DRIVERS & INHIBITORS
  • 11. State of the Hybrid Cloud Research Report | January 2016 11 Many organizations continue to push workloads to private cloud infrastructure rather than public, driven by certain factors that keep popping up. The need to keep confidential data in country/on-site is at the top of that list followed by the perception that private clouds are less risky and service level management is easier. The fear of being locked into public cloud vendors is a commonly assumed explanation for why organizations choose private over public cloud infrastructure. However, the data clearly shows that this is much less a driver than other factors.
  • 12. State of the Hybrid Cloud Research Report | January 2016 12 While organizations are rapidly migrating workloads to the public cloud, the data clearly shows that this is not a complete migration. A sizeable number of respondents said that certain workloads would always remain on-premises in either traditional or private cloud infrastructure. For example, 28 percent say this about backup and recovery, 27 percent for disaster recovery and 26 percent for archive, data warehousing, and relational or OLTP databases. The future will be a mix of traditional on-premises, private and public clouds. Exacerbating the heterogeneity is the fact that 74 percent currently use multiple cloud infrastructure vendors with 23 percent using four or more vendors. Note that more heavily regulated industries (ex: healthcare or financial) corresponds with a greater number of cloud vendors in use. The Future is Messy It Helps to Have a Guide Not surprisingly, with such a messy, heterogeneous future, 81 percent of enterprises rely on service providers for help with implementation as well as ongoing operations. Those who report “always using service providers” for implementation are twice as likely to say their cloud system(s) have exceeded their expectations (53 versus 26 percent). A similar result is reported when using service providers for ongoing support, where 50 percent of those always using a service provider for ongoing support said their expectations were exceeded versus just 30 percent for those who never use a service provider.
  • 13. State of the Hybrid Cloud Research Report | January 2016 13 Cloud adoption is well underway, and traditional on-premises infrastructure is not going away. Organizations are looking at hybrid models to take advantage of the cost advantages and increased IT agility that comes from the cloud while mitigating the risks of security, confidentiality, and loss of control. Advice for Making the Transition to Hybrid Cloud Here are four steps we recommend to maximize the agility and minimize the risks in hybrid cloud environments: Find and understand the blind spots fragmented hybrid cloud architectures create as information flows through and across different private and public cloud environments. 1 Keep complete business services and applications healthy and available – not just their underlying infrastructure components. 2 Protect, manage, and govern all of the data that flows through your complex, multi-vendor hybrid cloud environment as a unified whole. 3 Consistently monitor and test the health of your complete hybrid cloud services and applications. 4 Veritas is ready to help you embrace the agility of hybrid cloud architectures while avoiding the risks. Learn more about our family of information management solutions and services already trusted by IT organizations worldwide. For more information visit: https://www.veritas.com/solution/multi-vendor-hybrid-cloud
  • 14. State of the Hybrid Cloud Research Report | January 2016 Hybrid cloud architectures are the preferred model for enterprises. Workloads are migrating to a multitude of different cloud vendors with mission-critical workloads moving at a similar rate as lower-tier workloads. This puts pressure on IT and cloud providers to ensure proper solutions that help maintain data visibility, management, and control are in place. To help drive successful outcomes, organizations look to partners to help manage the chaos. At Veritas, we design solutions to help customers better manage and protect their information regardless of the scale, complexity, or heterogeneity of their environment. Learn how Veritas can help you with your hybrid cloud initiatives. For more information visit: https://www.veritas.com/solution/multi-vendor-hybrid-cloud Summary 14
  • 15. About Veritas Technologies Corporation Veritas Technologies Corporation enables organizations to harness the power of their information, with solutions designed to serve the world’s largest and most complex heterogeneous environments. Veritas works with 86 percent of Fortune 500 companies today, improving data availability and revealing insights to drive competitive advantage. © 2015 Veritas Technologies LLC. All rights reserved. Veritas and the Veritas Logo are trademarks or registered trademarks of Veritas Technologies LLC or its affiliates in the U.S. and other countries. Other names may be trademarks of their respective owners.