S&P Global Market Intelligence Business Brief: Optimizing on-premises infrastructure
Research confirms that we live in a hybrid and multicloud world. According to S&P Global’s Voice of the Enterprise: Cloud, Hosting & Managed Services, Hybrid/Multicloud 2022 survey, even among public cloud adopters, 80% of organizations are keeping on-premises infrastructure in their IT environments. Distributed IT estates may evolve through planning or by happenstance. But as a matter of course, these modern architectures create operational complexity.
Cloud is an operating model, not a location. Yet the growth of cloud deployments has revealed a harsh reality: In many cases, replicating on-premises applications in the public cloud (“lift and shift”) is expensive, and data protection requirements often dictate that mission-critical volumes remain on-premises. IT departments face a new reality of continually rebalancing capex and opex investments to derive the best value and the safest security posture. Make no mistake: There are gains to be made from diversifying IT environments; otherwise, the vast majority of businesses wouldn’t be doing it.