Over the past 10 years the digital expanse for businesses has become nearly all encompassing. Without going into too much detail that’s the primary factor as to why so many businesses have had to embrace the cloud as – quite simply – their operations are necessitating it. That goes beyond data too, and companies that are utilizing the IoT are especially in need of everything cloud computing makes possible.
Now there are many instances in life where something can be described as both a blessing and curse. That probably doesn’t legitimately apply to cloud computing, but for some of these businesses it may be at least somewhat applicable based on all the added costs they have had no choice to assume because of moving more and more into the cloud. Damned if you do, damned if you don’t might well apply here too.
That doesn’t so much apply to us here at 4GoodHosting in the same way it won’t for any good Canadian web hosting provider. But there is likely enough of the audience here that is making the move to a greater extent at all times too, and so we’ll make the expensiveness of cloud computing for businesses our topic for this week’s entry here.
Higher than Expected Costs
Even though most businesses are happy with the rate at which their company is transforming to the cloud, higher-than-expected costs are making some businesses revisit how they are allocating needed monies for it. All of this based on a Cloud Impact Study where senior IT professionals across large organizations in the US, Canada, and UK were asked about their organization’s spending on cloud infrastructure.
36% of the respondents reported that delivering cost predictability is one of the key challenges facing their organization. And the overarching belief is that while Cloud cost is high, the benefits don’t line up with how much is being spent on it. In addition, ‘many companies are not getting the benefit of a comprehensive management strategy they expected.
The adjoining belief is that much of this stems from having rushed into cloud service adoption due to the way the pandemic nudged many businesses online. The popularity of multicloud is a factor here too, with 59% of respondents saying their organizations prefer to combine public and private cloud services.
Mitigated Challenges = Lower costs
There are plenty of reasons why diversifying across more than one provider is appealing, and a big one is in hoping to save some costs by cherry-picking only the parts they need from different service providers. But even in best-case scenarios it seems that higher-than-expected cloud costs continue to face them.
Any and all will know that embracing digital transformation is important, but more could be done to mitigate the challenges that face businesses to at least some extent. Investing in Cloud essential components for business continuity and growth in turbulent times is 100% worth it for all these companies, even if the cost of doing so is unappetizing . Increasing ITDM knowledge and understanding or employing a multicloud specialist provide will go a long way to improving the cost-benefit ratio, especially as the period of economic uncertainty continues to be a detriment to businesses worldwide.