Seven Trends Transforming Cloud Computing Services

  • August 23, 2018

    Recent meteoric rise in cloud adoption is reshaping the landscape of IT in enterprise. According to the 2018 State of the Cloud Survey, more companies see public cloud as their top priority, up from 29 percent in 2017 to 38 percent in 2018. With the majority of organizations moving at least some of their IT operations to the cloud, other exciting trends such as increasing focus on IoT and 5G will arise. Conversely, other complications such as tougher compliance requirements and cybersecurity threats will too. In this post, we will take a deep dive on seven of the top trends transforming cloud computing services today.

     

    Growth in cloud services (SaaS, PaaS, etc.)

    With nearly all companies utilizing some kind of cloud infrastructure either on private clouds, public clouds or in hybrid environments, cloud services will naturally continue to grow. Cloud services are experiencing an inflection point where providers are pushing beyond the early adapters and into the mainstream. Gartner predicts that the cloud services market will reach $186.4 billion by the end of 2018 which is a  21 percent increase compared to $153.5 billion in 2017. The major players such as Microsoft, Google and Amazon will continue to lead the pack but other niche players will also thrive as the demand for industry-specific services will rise as well.

     

    KPMG predicts platform as a service (PaaS) will grow the fastest in the next year from 32% adoption in 2017 to 56% adoption in 2020. PaaS allows for companies to maintain more control over application development and management with the flexibility and cost effectiveness of the cloud infrastructure.

     

    Other cloud services expected to continue to grow include file sharing services, consumer cloud services, and subscription-based SaaS.

     

    Hybrid Models

    Many organizations find the best solutions in hybrid models in which they migrate a portion of applications to the cloud while maintaining some in on-premise servers. Forbes predicts more companies will opt for hybrid models in 2019. These hybrid models will include a mix of cloud and on-premise applications as well as a hybrid cloud vendor mix.

     

    A lot of companies do not like the idea of utilizing one cloud service provider. In response, many cloud service providers are opening up APIs to work with competitors or other providers offering tangential services.

     

    Tougher Compliance

    With the increase in data breaches as well as recent discoveries of personal data abuse, national governments are cracking down with tougher compliance laws. As companies and markets become increasingly global, policies are becoming more localized. The EU’s General Data Protection Regulation (GDPR) marked the paradigm shift in personal data protection. Companies can no longer rush into computing programs without considering legal security measures first. A global survey conducted by Commvault reveals that 89% of companies remain confused by GDPR requirements and only 21% feel they have a good understanding of what GDPR means in practice. Cloud providers that can provide clarity and demonstrate clear protocols for GDPR compliance will effectively differentiate themselves from their competition.

     

    Security Threats

    Cybersecurity threats are evolving and unfortunately, cloud servers are a major target. Tripwire recently published the top security threats to the cloud in 2018.

     

    Data Breaches: In 2017, the Equifax breach affected 143 million Americans. Many of these modern data breaches involve cloud servers.

     

    Data Loss: Companies can lose their data in a myriad of ways other than a cyber attack such as natural disasters, human error or server failure.

     

    Insider Threats: While the vast majority of employees are trustworthy, cloud computing allows for employees to access applications anywhere from the internet. A rogue insider may steal data more easily with the help of the cloud.

     

    Spectre and Meltdown: Earlier this year, research revealed that some common design features in most microprocessors could allow content to be read using malicious Javascript code. According to CSO, Spectre and Meltdown permit side-channel attack because they break down the isolation between applications. This poses a major problem for cloud service providers because security patches to prevent these attacks can degrade performance.

     

    Insecure APIs: APIs are becoming increasingly important in hybrid cloud environments. In many cloud environments, APIs are the only elements that exist outside the trusted organizational boundary. Attackers may try to exploit these APIs to gain access to cloud programs.

     

    Increased Cloud Capacity

    With growing demand for cloud services, providers will need to increase capacity. It is predicted that by the end of 2018, cloud computing storage will reach 1.1 ZB (Zettabyte).

     

    Supporting IoT Growth

    Almost all IoT devices rely on the cloud to function. With the rise in IoT adoption by both businesses and consumers, IoT cloud infrastructure will continue to grow. Gartner predicts that there will be over
    20.4 billion connected devices by 2020.

     

    Serverless Cloud Computing

    Now that most companies store a majority of their data online, there’s no need for server integration. Server-less technology allows developers build and run applications without managing or operating servers. Serverless cloud computing creates even more flexibility and efficiencies as it requires less time and effort to release new updates.

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