Survey: Most Businesses Will Increase Cloud Spending This Year

Cloud computing

Nearly seven in 10 U.S. businesses using a cloud computing service plan to increase their spending on the technology this year, according to the latest annual survey by Clutch, the research and marketing firm.

The survey included nearly 300 IT professionals at businesses across the United States that use a cloud computing service. Of those businesses, 58 percent had 11-1,000 employees, while 42 percent had 1,001-plus employees. One in five report that their cloud computing spending this year likely will increase by more than 30 percent..

Clutch's Riley Panko

Clutch’s Riley Panko

Riley Panko, Clutch’s content developer and marketer, tells Channel Partners the survey results show that cloud computing is an “impressive force in the IT channel.”

“Once considered an alternative option, it is now the go-to solution for many businesses,” she said. “I believe the results show that if businesses aren’t paying attention to the cloud, they risk falling behind.”

Businesses also report having greater confidence in cloud security, possibly influencing more migration to the cloud. In the survey, the largest percentage of businesses identify security as a benefit of using the cloud. This attitude is a shift from past years, when cloud security was often treated with skepticism and distrust.

“While we knew that cloud security was gaining respect, it surprised us to see it come out on top as a strong benefit of cloud computing,” Panko said.

When it comes to which type of cloud to use, most businesses are using a private cloud, where services and infrastructure are maintained on a private network. But the survey revealed that more than 80 percent are considering implementing or planning to implement a hybrid cloud option in the future. A hybrid cloud has services and infrastructure spread between a private network and off-site cloud provider.

Once the decision is made to adopt cloud computing, many businesses seek outside help for the subsequent installation. More than half of those surveyed said they hire an external consulting firm to help them implement their cloud strategy.

“Companies should understand that moving to the cloud isn’t always a simple process,” Panko said. “Furthermore, every business’ cloud needs will be unique. Companies need to seek out expertise for cloud migration if they do not possess it internally, and should closely evaluate and plan out their cloud needs.”

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