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2020 Cloud Predictions

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When Netgain was founded in 2000, we were considered an “application service provider” or ASP.  This was fancy terminology for a service that wasn’t yet market-ready – cloud computing. For two decades, we’ve been providing cloud services under a variety of service names like application hosting, outsourced IT, and desktop hosting. But the concept was always the same – managing our client’s applications and data from a remote location with added security, scalability, and unparalleled availability.

We educated the healthcare and financial services industry on why moving their entire IT infrastructure to an off-site location would be more secure and performant than having it in their server room. Now, 20 years later, Gartner calls cloud computing “mainstream.” Healthcare practices and financial firms across the country are moving to the cloud, fully aware of and seeking its benefits. 

As we kick-off 2020, here are the top 10 cloud predictions set forth by our peers and researchers in the cloud industry:

  1. Infrastructure as a Service (IaaS) secures highest growth in 2020 due to data center consolidation. (Gartner)
  2. The worldwide public cloud services market is forecast to grow 17% in 2020 to total $266.4 billion, up from $227.8 billion in 2019. (Gartner)
  3. Artificial Intelligence (AI) and Machine Learning will be the leading catalyst driving greater cloud computing adoption by 2020. (Forbes)
  4. Software as a service (SaaS) will remain the largest market segment, which is forecast to grow to $116 billion next year due to the scalability of subscription-based software. (Gartner)
  5. Cloud management vendors will shift focus to security after the well-publicized CapitalOne public cloud data breach in 2019. (ZDNet)
  6. The public cloud will become the dominant infrastructure model for the financial services industry. (PWC)
  7. Amazon is no longer untouchable as Microsoft, Google, and IBM ramp up their cloud market share. (IDC)
  8. The cloud managed service landscape is becoming increasingly sophisticated and competitive. In fact, by 2022, up to 60% of organizations will use an external service provider’s cloud managed service offering, which is double the percentage of organizations from 2018. (Gartner)
  9. SaaS vendors exit proprietary platforms and move to the hyperscale leaders. Those SaaS vendors that were late to the infrastructure market are opting for large-scale cloud infrastructure partners. (Forrester)
  10. Adoption of next-generation solutions are almost always ‘cloud-enhanced’ solutions, meaning they build on the strengths of a cloud platform to deliver digital business capabilities. (Gartner)

There’s a variety of factors at play within these predictions, but one thing is consistent – cloud adoption is not slowing down any time soon.

Is your organization 2020 cloud-ready? How will the consolidation of SaaS vendors and the partnerships between public providers affect your cloud strategy?

There’s a lot to navigate to ensure your organization is getting the most out of your cloud solution. Going to a hyperscale, public, or multi-cloud environment comes with its challenges. How will you and your team optimize your vendor relationships?

Netgain can help. For our clients, we evaluate, design, and manage multi-cloud and hyperscale cloud environments for our clients, providing a simplified solution with one vendor contact and one exceptional support team managing your complex cloud environment.

For more information about how we can help bring your cloud strategy from complex and messy to streamlined and strategic, contact us at https://netgaincloud.local/contact/.