Why Hyperscalers will continue to dominate IT Infra. related client conversations?
Couple days back, a cloud exec was named the CEO of IBM which shows the increasing prominence of cloud in the company’s scheme of things and probably a bellwether to broader tech. services industry as a whole.
Cloud computing is supposedly the fastest growing market segment in the broader tech. services space and it is predicted to be $620+ B market in next 3 years with a CAGR of more than 18% (MarketsandMarkets report). Driving this growth are the multiple benefits that Enterprise (and SMEs) can harness by cloud adoption, including seamless scalability, reduced operational cost, agility to adapt to changing business requirements and rapid provisioning that enables much faster time-to-market for business.
This growth will only accelerate with the advent of flurry of technologies like ML/AI, IoT and edge computing as the Hyperscalers continue to innovate to bring these use cases on their platform. Recently for ex., AWS tied up with Verizon to bring to bear 5G use cases that require ultra-low latency and connect 5G applications to their cloud services without any hops. I am inclined to say that if the last five years was about adopting ‘cloud-first’ strategy, the current decade will be about ‘cloud-led innovation’ strategy, as the Cloud increasingly becomes the de-facto Infra or foundational layer for deploying new age technologies.
Moreover, as the businesses continue to plough through their Digital transformation journeys by optimizing their tech. assets, adopting DevOps and Containerization tech., it will be the Org wide adoption of Cloud that would support these initiatives.
To enhance customer experience, hyper-personalization is the norm and all business processes, data and applications will increasingly become cloud-native. The ‘data is the new oil’ is a cliche and as more and more data move to the cloud, the Hyperscalers will increasingly play a dominant role in cloud data services across use cases — data migration, privacy & security , analytics, ML tech stack and so on. Supporting these developments are a host of ISVs in a broader cloud-ecosystem play driving the technology industry forward.
The hybrid cloud model has become the dominant adoption mode by large Enterprises and realizing this trend one of the Hyperscalers, AWS came up with an offering called Outpost that lets customers run AWS Infra. on Premise, allowing for truly consistent hybrid experience. Interesting development to say the least, Cloud tech stack dictating the On-Prem Infra in a truly cloud-native environment !
