Navigating Economic Uncertainty: Cloud Usage Trends

Serif Ozcan, Solution Architect • IT

In today’s uncertain economic times, businesses are facing significant cost pressure. This uncertainty is also affecting how companies plan to use cloud services – a key lever of digital transformation, but also a significant and increasing cost-basis within enterprise businesses. So what are the trends, and our predictions for the coming months?  A recent report gives us insights into how businesses are adapting to these changes.

How Economic Uncertainty Affects Cloud Use

Because of economic uncertainty, businesses are carefully considering their spending, including what they invest in cloud services. Surprisingly, almost half of the people in a recent report said they plan to spend the same amount on cloud services. This shows that they want to keep using cloud tools even when times are tough.

But 45% of those surveyed said they expect to spend more on cloud services. This means that most businesses see the cloud as vital for keeping their operations running smoothly and for staying competitive. Only a small number, 10%, said they plan to spend less. This suggests that for most businesses, the cloud is a must-have tool, even during uncertain economic times.

Cloud Computing Giants: Azure Leads, Oracle and Alibaba on the Rise

Azure is still the most popular cloud provider, known for being reliable and versatile. AWS and GCP are also very influential, showing they are important players in cloud computing. But what’s interesting is the growth of Oracle and Alibaba, which we predict will see their market share increase by 12% and 10% respectively amongst new cloud adopters.

New Trends in Cloud Services

Data warehousing remains the most common use case for Cloud, with 56% of businesses using it for this purpose. This shows how important it is to manage data well in today’s data-focused world. The next most popular service is Relational Database as a Service (DBaaS), with 48% of businesses using it.

Machine Learning and AI Lead the Way

One of the most important findings of the report is how crucial Machine Learning and Artificial Intelligence (ML/AI) are in driving cloud adoption. With a 27% adoption rate, ML/AI is the top reason why businesses try out cloud services. This shows how much businesses value using advanced analytics for insights and innovation. It’s clear that businesses see the potential of ML/AI in staying competitive and relevant in today’s fast-changing market.

Despite Economic Storms, The Cloud Remains a Ray Of Light

In uncertain economic times, the cloud is a crucial tool for businesses trying to navigate through challenges. Some businesses are being careful and keeping their cloud spending the same, while others see the opportunity to use cloud services for innovation and strength. Azure, AWS, and GCP are the leaders in cloud services, but Oracle and Alibaba are growing quickly.

As data becomes more and more important for businesses, data warehousing and DBaaS are playing big roles in how cloud services are used. The rise of ML/AI as a driving force behind cloud adoption shows a shift towards using data for decision-making and innovation.

In this changing environment, businesses that use cloud services smartly, especially in data management and AI, are set to not only get through uncertain times, but also come out stronger and more competitive in today’s ever-changing market.