Public Cloud Services

Trends that are Driving the Industry Verticals Towards Public Cloud Services

As the transition to cloud infrastructure begins, solution providers have a lot to look forward to the coming years wherein advances by global players – the introduction and implementation of multi-cloud and hybrid cloud approaches – have continued to reshape the public cloud environment. With the bulk of IT expenditure still on-site, the industry’s modernization of its core applications will continue to transform business technology and industry this year.

According to the RightScale State of the Cloud Survey of 2019, more than 30 percent of enterprise IT decision-makers identified the public cloud as their top priority. However, there is still a perception that public cloud adoption among businesses is not happening as quickly as many experts have anticipated, especially for mission-critical applications.

What is the public cloud?

A public cloud is a cloud service offered by a cloud provider to multiple customers. The word “public cloud” is used to contrast the initial cloud network of resources accessible over the Web and the private cloud platform. Public clouds include SaaS, PaaS, and IaaS.

The public cloud domain applies to cloud infrastructure delivered over a shared access network. The public cloud is a multi-tenant network where a variety of other customers share the storage space.  Businesses around the world have shifted gradually into cloud computing in the last 6-7 years. The key factors behind the large-scale deployment of cloud computing have been tremendous scalability and lowered running costs provided by cloud providers.

Why choose the public cloud?

Over the coming years, businesses are expected to further propel the transfer of mission-critical workloads to the public cloud. There are several critical reasons for this potential shift. For starters, corporate executives are requesting a centralized cloud to ensure that their companies remain ahead of the digital innovation curve and not behind the eight balls.

IT decision-makers prioritize the public cloud as they seek to leverage cloud elasticity, modernize in-house computer systems, and empower DevOps and other key business units. Cloud providers focus crucial emphasis on enterprise technology, removing stumbling blocks that could have caused IT decision-makers pause to completely accept the digital cloud in the past. This phenomenon is especially important to businesses that have a strong history of meeting the needs of enterprises, in particular IBM and VMware.

Types of services offered through the public cloud technology:

Platform-as-a-Service (PaaS)

The rising need among companies for quicker and simpler cloud, software, and application development across multiple platforms is leading to the proliferation of public cloud services. The increasing need to assist globally dispersed engineering teams in large companies is driving business growth. The increasing needs of IT solutions, such as agility, scalability, pay-per-use based pricing, and reduced costs and time, are driving the Platform as a service market growth.

Software-as-a-Service (SaaS)

Software as a service (SaaS ) is a software distribution model in which applications are hosted by a third-party provider and made available to customers over the Internet. SaaS is one of the three main categories of cloud computing, in addition to infrastructure as a service (IaaS) and platform as a service (PaaS). Organizations can use application programming interfaces ( APIs) to integrate SaaS applications with other software. For example, a company can write its software tools and use the SaaS provider’s APIs to integrate these tools into the SaaS offering.

Infrastructure-as-a-Service

Infrastructure as a Service (IaaS) is a cloud computing service in which companies rent or lease cloud computing and storage servers. Users may run any operating system or program on leased servers without the management and operating costs of these servers. Organizations are progressively integrating technology and operations (I&O) in more and more enterprise areas. Historically speaking, I&O included technological aspects such as cloud, data centers, and location, but I&O pioneers today, such as Power Consulting IT Support, go moving outside technology to promote company strategies.

Public cloud services for various industries:

Banking, financial services and insurance (BFSI)

Technology is becoming more specialized as suppliers turn their attention to tailored solutions across vertical lines. The cloud requirements of the financial services industry, packed with regulatory oversight, are more rigid than construction or retail needs. Vendors are leaning towards a cloud-filled world, responding to customer demands for integration with other providers, or reducing the security burden.

Healthcare

The healthcare industry is infamously lagging behind other industries when it comes to the adoption of new technologies. Moving to the cloud is no exception to this. Beyond security and ownership costs, the public cloud infrastructure offers several benefits. That is because it makes for a quicker rate of creativity. Applications can be designed even quicker by exploiting the myriad of resources provided by major public cloud computing providers.

Retail and E-commerce

Retail business is in the middle of an unprecedented transition in which authority has moved from business to consumer ownership. Consumers influence product preferences across reviews and social networking, perform comprehensive online product analysis and demand seamless omnichannel service at all touchpoints. Retailers face immense pressure to implement innovative market technologies quicker to stay profitable. Businesses’ expectations for technologically-enabled skills are pushing it, executives, to advance/accelerate their technology-enabled plans. More and more leaders have come to recognize the critical role of the public cloud in facilitating their technological re-engineering.

Public cloud trends that are bringing forth a new phase of the technology

Increased Use of AI in the Data Center

In the years to come, the usage of Artificial Intelligence (AI) in the data center should be increased. From reducing resources to predicting computer or network equipment fault trends, AI may be used proactively to fix issues before they arise. AI-based platforms can also help data centers learn from past data and distribute workloads more efficiently over peak periods.

AI will even help businesses overcome challenges of expertise shortages. The impact of AI is such that Gartner predicts that more than 30% of data centers that are not sufficiently prepared for AI will no longer be operationally or economically viable by 2020. AI-based applications and technologies can be provided through the cloud.

Cost optimization will drive cloud adoption

By 2024, nearly all existing systems moved to the public cloud technology as a service ( IaaS) would need enhancement to become more cost-effective. Cloud providers will continue to strengthen their native optimization capabilities to help organizations choose the most cost-effective architecture that can deliver the required performance.

The demand for third-party cost-optimization tools will also grow, especially in multi-cloud environments. Their interest should rely on higher-quality analytics that can optimize costs without losing efficiency, provide flexibility from cloud vendors, and provide continuity in multi-domain management.

Demand for Disaster-Recovery-as-a-Service Peaks

As more organizations start taking the digital route, downtime costs are rising rapidly. Of course, this depends on the business in which the organization operates. For example, whether it is an e-commerce business, the expense may be disastrous, because downtime implies lost selling opportunities.

Around the same period, regulations such as the GDPR also mandated organizations to handle citizens’ data with special concerns. Organizations need to be legally compliant and also confident that their disaster recovery strategies will be in place. This encouraged organizations to increasingly look at DR-as-a-Service, as an automated DR strategy could significantly reduce recovery time.

The bottom line

The public cloud market has empowered companies to drive digital innovation through quicker exposure to new technology such as artificial intelligence, big data analytics, the Internet of Things, blockchain, and cloud-based application development frameworks. With the right public cloud infrastructure, companies will be more cost-effective, competitive, and scalable without losing client standards for quality, stability, efficiency, disaster recovery, or regulatory enforcement. Also, with the right set of solutions, each of these areas can be enhanced.

Free Valuable Insights: Global Public Cloud Market to reach a market size of USD 488.5 billion by 2026

For many companies, cloud travel has focused primarily on new cloud-based applications. They’re not ready to place their most mission-critical applications in the public cloud. The plan was to wait to push all programs to the cloud in the future when the cloud is ready for business.

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