By Jay Chapel, CEO of ParkMyCloud
I talk to enterprises, MSPs and industry pundits about cloud trends on a daily basis. Some are no surprise: Public cloud is here to stay. AWS is king, and customers care about cost.
I also hear that companies are working to figure out if they want to adopt a single cloud/multi-region strategy or become true multi-cloud users. That decision really boils down to risk mitigation. For most, AWS is part of the landscape no matter which direction they go. It’s the clear leader in this space and continues to innovate and grow at a record pace, including signing a deal to run VMware’s SDDC on the AWS Cloud.
AWS just hit $4 billion in quarterly revenue – that’s $16 billion run rate – and the VMware integration will only help with enterprises. It’s like the new IBM: What CIO or CTO is going to get fired for moving their infrastructure to AWS’ cloud to improve agility, attract millennial developers who want to innovate in the cloud, leverage the cloud ecosystem, and lower cost by eliminating data centers? My company supports Azure and Google, yet 75 percent or more of the new trials and customers we see use AWS, and their environments are almost always larger than those on Azure and Google. There is a reason Microsoft and Google do not release IaaS statistics. And for IBM and Oracle, they are the wayback IaaS time machine.
Cost is something enterprises really care about, and optimizing their cloud spend as their bills grow is becoming increasingly more important to the CFO and CIO. For partners, my advice is to have customers buy capacity in advance — yes, that kind of defeats the purpose of the pay-as-you-go model, but it will save significant money. They may also need help right-sizing servers, as developers have a tendency to overprovision for their needs; turning stuff off when it’s not being used; and finding orphaned resources that are “lost” in the cloud. Since 65 percent of a typical bill is spent on compute (servers/instances); focus there first and foremost since it has the largest impact on a bill.
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Now for three surprising observations: