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Nine Cloud Computing Predictions for 2018

  • Nine Cloud Computing Predictions for 2018

    Nine Cloud Computing Predictions for 2018
    Where is the cloud computing and the cloud market and industry headed? We peer into the crystal ball for 2018.
  • Big names continue to dominate.

    Big names continue to dominate.
    Forrester estimates Amazon Web Services (AWS), Google and Microsoft will capture a hefty 76% of all cloud platform revenue in 2018 and that will expand to 80% by 2020. Which creates challenges for IBM, Rackspace, Equinix, Oracle, ServiceNow, and everyone else trying to compete with them.
  • Big deals will continue.

    Big deals will continue.
    Forming partnerships is the order of the day. Cisco and Google announced plans for an on-prem/cloud offering. Salesforce and Google partnered to offer Google services to Salesforce customers. HPE and Rackspace partnered to offer on-prem and cloud hybrid services. VMware and Amazon also paired up. In some cases, this is legacy vendors, rapidly losing sales as customers shift to the cloud, looking to stem their loses and so partnering with the very companies that they are losing customers to. For cloud users, this means that functionality will only grow ever greater.
  • Hybrid cloud strategies take shape

    Hybrid cloud strategies take shape
    As noted earlier in this report, multi-cloud and its related strategy, hybrid cloud, are gaining adoption. Microsoft debuted Azure Stack, which replicates the Azure service in your own data center. AWS and VMware previously made a similar announcement, where AWS services would be locally available. Google has partnered with VMware and Nutanix, and IBM has its own hybrid offerings through SoftLayer. The centrality of hybrid can hardly be stressed enough; it’s ideal for the majority of cloud deployments and will certainly grow in the future.
  • Enterprises are learning the value of ‘cloud native’

    Enterprises are learning the value of ‘cloud native’
    One of the tough lessons enterprises learned as they migrated to the cloud is that not all workloads belong in the cloud. Some, like legacy apps that need to run full time, 24/7, are best suited on premises. Some companies tried moving these applications to the cloud, got a shock when the bill came, and then moved back on premises. Now the many businesses are past that learning curve, enterprises and their consultants are much more careful about what they move to the cloud. They know what to move and what to build in the cloud, are coming to understand that ‘cloud native’ – apps built specifically with the remote computing in mind – have many advantages. This will lead to more IaaS/PaaS activity as new projects outpace migration of existing on-premises apps.
  • Containers continue to gain traction

    Containers continue to gain traction
    Virtual machines are useful, but containers will gain more ground since they are smaller and more portable between on-premises and the cloud. The overall trend in cloud adoption is allowing for rapid application development, which containers help accelerate. Right now it’s a fight between Docker, Kubernetes and Mesos, but Kubernetes appears to be taking the lead. With Google behind it, it has matured quickly. With Microsoft, IBM and AWS all supporting it, it’s rapidly becoming the de facto standard.
  • “Serverless” computing adoption grows

    “Serverless” computing adoption grows
    Serverless computing, that misnamed practice of not having a dedicated server or permanent container/VM to run an app but merely setting up an instance for it to run and then shutting it down, will grow rapidly in popularity as cloud customers look for ways to cut costs. Why pay for a VM running 24/7 when you can simply run your app and have it shut down completely when done? The technology is advancing and cloud providers will all be developing sophisticated options for serverless.
  • AI for automation – and everything else

    AI for automation – and everything else
    Artificial intelligence is everywhere now, from our homes with Amazon Echo to cars to enterprises. One area it will see expansive growth is in predictive analytics, as companies look to be more responsive and eliminate human error in their actions and reactions. Through predictive analytics, proper actions can be taken based on data or information without waiting for humans to assess and decide. Automation will handle everything from reactions to information to error handling, thus taking the potential for human error out of the equation. And AI will certainly gain traction in the security space as it monitors suspect behavior.
  • GDPR forces better security

    GDPR forces better security
    Europe’s General Data Protection Regulation (GDPR) regulations will impose very strict controls on user privacy and levy considerable fines for lax security, and even hold companies responsible for the security failings of partners. And if there is one thing American tech firms like Microsoft and Intel know, the European Union loves to slap fines on American companies. So you can believe that cloud vendors – and everyone else – is going to get quite strict with security policies if they want to continue doing business in Europe.
  • Blockchain goes mainstream

    Blockchain goes mainstream
    Slowly, very slowly, blockchain is being defined and understood. People are beginning to realize blockchain means more than just Bitcoin, much more. It is a way to exchange digital assets using cryptography for secure transactions, as well as a much broader way to structure, store and secure data. It allows the sharing of blocks of data or transactions across a network of computers with no central authority or giving a single party the power to alter with it, insuring security and integrity of the data.
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Nine Cloud Computing Predictions for 2018

  • 1 of
  • Nine Cloud Computing Predictions for 2018

    Nine Cloud Computing Predictions for 2018

    Where is the cloud computing and the cloud market and industry headed? We peer into the crystal ball for 2018.
  • Big names continue to dominate.

    Big names continue to dominate.

    Forrester estimates Amazon Web Services (AWS), Google and Microsoft will capture a hefty 76% of all cloud platform revenue in 2018 and that will expand to 80% by 2020. Which creates challenges for IBM, Rackspace, Equinix, Oracle, ServiceNow, and everyone else trying to compete with them.
  • Big deals will continue.

    Big deals will continue.

    Forming partnerships is the order of the day. Cisco and Google announced plans for an on-prem/cloud offering. Salesforce and Google partnered to offer Google services to Salesforce customers. HPE and Rackspace partnered to offer on-prem and cloud hybrid services. VMware and Amazon also paired up. In some cases, this is legacy vendors, rapidly losing sales as customers shift to the cloud, looking to stem their loses and so partnering with the very companies that they are losing customers to. For cloud users, this means that functionality will only grow ever greater.
  • Hybrid cloud strategies take shape

    Hybrid cloud strategies take shape

    As noted earlier in this report, multi-cloud and its related strategy, hybrid cloud, are gaining adoption. Microsoft debuted Azure Stack, which replicates the Azure service in your own data center. AWS and VMware previously made a similar announcement, where AWS services would be locally available. Google has partnered with VMware and Nutanix, and IBM has its own hybrid offerings through SoftLayer. The centrality of hybrid can hardly be stressed enough; it’s ideal for the majority of cloud deployments and will certainly grow in the future.
  • Enterprises are learning the value of ‘cloud native’

    Enterprises are learning the value of ‘cloud native’

    One of the tough lessons enterprises learned as they migrated to the cloud is that not all workloads belong in the cloud. Some, like legacy apps that need to run full time, 24/7, are best suited on premises. Some companies tried moving these applications to the cloud, got a shock when the bill came, and then moved back on premises. Now the many businesses are past that learning curve, enterprises and their consultants are much more careful about what they move to the cloud. They know what to move and what to build in the cloud, are coming to understand that ‘cloud native’ – apps built specifically with the remote computing in mind – have many advantages. This will lead to more IaaS/PaaS activity as new projects outpace migration of existing on-premises apps.
  • Containers continue to gain traction

    Containers continue to gain traction

    Virtual machines are useful, but containers will gain more ground since they are smaller and more portable between on-premises and the cloud. The overall trend in cloud adoption is allowing for rapid application development, which containers help accelerate. Right now it’s a fight between Docker, Kubernetes and Mesos, but Kubernetes appears to be taking the lead. With Google behind it, it has matured quickly. With Microsoft, IBM and AWS all supporting it, it’s rapidly becoming the de facto standard.
  • “Serverless” computing adoption grows

    “Serverless” computing adoption grows

    Serverless computing, that misnamed practice of not having a dedicated server or permanent container/VM to run an app but merely setting up an instance for it to run and then shutting it down, will grow rapidly in popularity as cloud customers look for ways to cut costs. Why pay for a VM running 24/7 when you can simply run your app and have it shut down completely when done? The technology is advancing and cloud providers will all be developing sophisticated options for serverless.
  • AI for automation – and everything else

    AI for automation – and everything else

    Artificial intelligence is everywhere now, from our homes with Amazon Echo to cars to enterprises. One area it will see expansive growth is in predictive analytics, as companies look to be more responsive and eliminate human error in their actions and reactions. Through predictive analytics, proper actions can be taken based on data or information without waiting for humans to assess and decide. Automation will handle everything from reactions to information to error handling, thus taking the potential for human error out of the equation. And AI will certainly gain traction in the security space as it monitors suspect behavior.
  • GDPR forces better security

    GDPR forces better security

    Europe’s General Data Protection Regulation (GDPR) regulations will impose very strict controls on user privacy and levy considerable fines for lax security, and even hold companies responsible for the security failings of partners. And if there is one thing American tech firms like Microsoft and Intel know, the European Union loves to slap fines on American companies. So you can believe that cloud vendors – and everyone else – is going to get quite strict with security policies if they want to continue doing business in Europe.
  • Blockchain goes mainstream

    Blockchain goes mainstream

    Slowly, very slowly, blockchain is being defined and understood. People are beginning to realize blockchain means more than just Bitcoin, much more. It is a way to exchange digital assets using cryptography for secure transactions, as well as a much broader way to structure, store and secure data. It allows the sharing of blocks of data or transactions across a network of computers with no central authority or giving a single party the power to alter with it, insuring security and integrity of the data.

Download the authoritative guide: Cloud Computing 2018: Using the Cloud to Transform Your Business

This past year has been a stellar one for the cloud market as it continues to grow and expand – and become vitally important for businesses. Forrester Research predicts the total global public cloud market will be $178 billion in 2018, up from $146 billion in 2017, and will continue to grow at a 22% compound annual growth rate (CAGR). Public cloud platforms will remain the fastest growing segment and will generate $44 billion in sales in 2018. Gartner, however, has a much larger prediction. It says the worldwide cloud market will reach $260 billion this year alone. So where is it all headed? Some key patterns and trends developed in 2017 and will undoubtedly continue into 2018 and beyond, which makes some forecasting reasonable predictable. So let’s run down the predictions.

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