Covid and the Cloud Adoption

Covid and the Cloud Adoption

Dennis Snider

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Before the pandemic, it was already widely predicted that use of the cloud and associated revenues would rise massively over the coming years, with forecasters suggesting that it could double in value between 2018 and 2022 to $318BN. However, the pandemic has dramatically accelerated growth, for a number of reasons.

One of the primary drivers is that cloud services can be easily and quickly adjusted by customers instead of them having to go through extended revision processes. Numerous companies recognized that they would have to change their whole way of working in order to cope with increased demand, something that could take months in modifying on-premise systems but that could be done in days on the cloud.

Remote working has become the norm for many over the last year, and the cloud has greatly facilitated this; many organizations would not have been able to cope with the vast expansion in the numbers of remote workers without the use of cloud services and storage. Organizations using the cloud can rapidly upscale or downscale their capacities as necessary depending on workforce requirements.

Another benefit of the cloud is that it allows users to provide services for a wide range of customers employing one type of infrastructure. If organizations had being required to create new services in-house for their customers, it would have been such a complex and lengthy process that only the largest and most valuable clients would have had their needs addressed. With the cloud, minor adaptations of infrastructure can allow organizations to serve a huge range of customers by pooling resources.

Finally, the cloud has made very good economic sense for organizations as its use is based around measured service, i.e. the principle that users pay for units or service as they use them, rather than having to commit to a particular quantity upfront. This has allowed users to retain control of their finances during the most unpredictable time for businesses, only using – and paying for – what they need.

It was already clear that the cloud was going to be the most influential feature of the IT landscape for many years to come, but the pandemic has accelerated its use and ensured its primacy in the new normal.