Private/Hybrid Cloud Adoption Spans Enterprise Types

Private/hybrid cloud solutions are central to digital transformation initiatives at most enterprises, spanning organizations at varying levels of cloud maturity, according to a new research report published today by Information Services Group (ISG) (Nasdaq: III), a leading global technology research and advisory firm.

The 2022 ISG Provider Lens Next-Gen Private/Hybrid Cloud — Data Center Solutions and Services Archetype report finds that companies are seeking more flexible and accessible IT infrastructure as data and software become more central to their operations and business success. This is leading many to adopt hybrid models that may combine private and public clouds and internal and external data centers, depending on the needs of the organization.

“Data center outsourcing has become more than a simple cost-containment strategy,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “Enterprises are balancing the need for agility and scalability with security and governance concerns.”

Many companies are addressing a growing shortage of IT skills by engaging with service providers to develop private or hybrid clouds with intelligent remote monitoring and automation, the report says. These technologies allow organizations to automatically manage the requirements of the cloud infrastructure and predict and resolve problems, achieving sustained operation with a limited workforce.

The move to private and hybrid clouds is also removing network barriers and allowing enterprises to bring computing to the edge for IoT infrastructure, asset tracking, security and other purposes, ISG says. Many providers are also helping clients implement proofs of concept for AIOps, the emerging set of technologies that uses AI algorithms to optimize data center performance and provide analytics related to resource usage. AI-based automation is becoming increasingly important for enterprises with complex hybrid cloud environments.

The 2022 ISG Provider Lens Next-Gen Private/Hybrid Cloud — Data Center Solutions and Services Archetype report examines four different types of clients, or archetypes, that are looking for private/hybrid cloud solutions. The report evaluates the capabilities of 34 providers to deliver services to the four archetypes:

Traditional Archetype: These enterprises prefer to maintain substantial control over IT and pursue outsourcing to fill gaps in skillsets through staff augmentation. They may offload management of some of their non-mission-critical IT assets, primarily to contain costs. Typical outsourcing initiatives are small projects such as standardization or incrementally expanding virtualization. These clients evaluate providers primarily in terms of cost control.