ETR's Annual Cloud Drill Down Survey 

Cloud Spend & Workload Growth Reaccelerates but Gen AI ROI Still Unclear

ETR Research & Analytics  

| September 20, 2024

ETR completed its annual Cloud survey (N = 300) to measure utilization, workloads and spend on cloud providers. This includes public cloud workload share, absolute dollars and spend growth, public vs private distributions, spend drivers, and vendor market share across AWS, Google Cloud Platform, Microsoft Azure, and other players in the space. Of the 300 respondents, 62% are from Large Organizations, including 29% representing Global 2000 and 20% representing Fortune 500 organizations.

ETR recently conducted its annual survey on IaaS and PaaS Cloud usage, spending plans, vendors, and AI capabilities. Responses from 300 IT decision makers were gathered, with more than a quarter representing Global 2000 organizations. This article provides some key takeaways, but the full report is available with more detailed analysis or view the entire data set on the ETR Platform. (Please note that the full data model includes additional demographic cuts and cross-analysis slicers not highlighted in the report.)

Most respondents (57%) have been using IaaS or PaaS Cloud for at least five years, with 13% citing a decade or more of use. Almost half (45%) of respective organizational workloads are currently in the Cloud, and respondents estimated that 70% will be in the Cloud by mid-2027. Only 6% of respondents anticipate moving entirely off the Cloud within three years, with costs cited as the dominant reason. More than half (53%) of cloud usage is in Public Cloud, as opposed to Private Cloud, and this share is expected to rise to 65% by mid-2027.

High-Level Takeaways:

 

1. Cloud Workloads:

  • Nearly half of all workloads are currently in the Cloud, with an estimated increase to 70% by mid-2027.

  • Only 6% of respondents anticipate moving entirely off the Cloud within three years, with costs being the primary reason.

2. Cloud Spending:

  • Almost half of respondents spend less than $1 million a year on Cloud currently, but only 30% expect to spend this little in three years.

  • Cloud costs are perceived to be outpacing the value received by nearly half of the respondents.

3. Cloud Vendors:

  • Microsoft Azure, AWS, and Google Cloud Platform are the dominant Cloud vendors in terms of usage and spending.

  • A significant portion of respondents plan to diversify vendors by 2027 to access best-of-breed capabilities and avoid vendor lock-in.

The full report has much more detailed information and also incorporates IaaS and PaaS-based AI capabilities with detailed metrics around usage, spending, and specific vendor and tools share.

Please use the sidebar to request a copy of the report.

Enterprise Technology Research (ETR) is a technology market research firm that leverages proprietary data from our targeted IT decision maker (ITDM) community to provide actionable insights about spending intentions and industry trends. Since 2010, we have worked diligently at achieving one goal: eliminating the need for opinions in enterprise research, which are often formed from incomplete, biased, and statistically insignificant data. Our community of ITDMs represents $1+ trillion in annual IT spend and is positioned to provide best-in-class customer/evaluator perspectives. ETR’s proprietary data and insights from this community empower institutional investors, technology companies, and ITDMs to navigate the complex enterprise technology landscape amid an expanding marketplace. Discover what ETR can do for you at www.etr.ai 

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