BOSTON, MA – June 19, 2014 – CloudHealth Technologies, the pioneer in IT service management for the cloud, today announced its role as a collaborator in releasing the results of the fourth annual Future of Cloud Computing Survey, conducted by North Bridge Venture Partners, Gigaom Research and supported by over 70 other collaborating organizations. This year’s survey is the largest to date, and is the industry’s deepest and broadest examination of the cloud technology revolution. It analyzed the inhibitors and drivers behind cloud adoption, separating the hype surrounding the cloud from genuine industry trends and real world cases across a sample of 1358 respondents. See the complete findings slideshow here: 2014 Future of Cloud Computing survey, along with analysis and commentary on the results here: http://mjskok.com/resource/2014-future-cloud-computing-4th-annual-survey-results.
"With four years of data, we're now really beginning to see some interesting trends, such as the five-fold increase in SaaS adoption to 74% and the nearly six-fold increase in PaaS adoption to 41%." said Michael Skok, founder of the Future of Cloud program and General Partner, North Bridge Venture Partners.
Select Highlights from the Survey Data:
Cloud Adoption Is Strategic
Over the last few years, the top three drivers for cloud adoption have remained constant with agility, cost and scalability. One area that is changing as a driver though is that companies are increasingly moving workloads to the cloud to switch capex for opex. This is especially true for large companies with more than 5,000 employees.
"Cost, scalability and agility have made cloud computing strategic to business success. But cloud adoption also significantly increases business management complexity,” said CloudHealth Technologies CEO and Co-founder Dan Phillips. “To embrace the full strategic potential of the cloud, executive teams must find new ways to assert the necessary business controls to address reliability, provisioning, security, and regulatory and compliance needs."
Transition To Cloud - The First Cloud Front
"This wave of cloud computing that's revenue and new business driven is good news for long-suffering IT execs, said David Card, Vice President of Gigaom Research. “If they can offload tedious but necessary cost-center functions, and refocus resources on cloud-driven new business, they might be able to retake their seat at the C-table."
"Even though it's largely just a transition of existing apps, the first cloud front has rolled in confidently each year as existing applications transition to the cloud and are adopted as SaaS solutions. Cloud is now integral to business with 45% of executives saying they currently or plan to run their business in the cloud," said Michael Skok, General Partner at North Bridge Venture partners.
Transformation In The Cloud - The Second Cloud Front
“With over 11,000 Cloud Services / APIs, and developer adoption of IaaS at 56% and PaaS at 46% respectively, we are going to begin seeing the birth of new, re-imagined, cloud-native applications,” said Skok. “These applications, which are only possible in the cloud, will result in an order of magnitude greater value creation than the first cloud front. This second cloud front will be transformative," Skok continued.
For more about this second cloud front please visit the “2014 Future of Cloud Computing” results page.
Data Wants To Be Bigger In The Cloud
"If you get your head out of the sand and into the clouds you'll see the explosion of cloud-created data. It's not just big data, it's exhaustive data, as everything from clickstreams to commerce and personal cloud lockers create exabytes of data. According to Cisco, personal, cloud-carried data alone is estimated to grow from 1.7 exabytes in 2012 to 20 exabytes by 2017," said Skok.
2014 Future of Cloud Computing Survey Collaborators:
Supporting Links: View presentation: 2014 Future of Cloud Computing Survey Presentation http://www.slideshare.net/mjskok/2014-future-of-cloud-computing-4th-annual-survey-results http://mjskok.com/resources/cloud-computing Join the conversation: Future of Cloud on Twitter using hashtag #futurecloud and/or @North_Bridge and @futureofcloud.
About North Bridge: North Bridge Venture Partners and North Bridge Growth Equity are active partners with entrepreneurs providing seed-to-growth financing for innovative companies looking to disrupt big markets. With $3.5 billion in capital currently under management, North Bridge partners, many founders themselves, work with entrepreneurs to apply their expertise in the creation, operation and scaling of market-leaders. The firm has funded more than 170 companies creating many billions in market value. Among those firms are Acquia, Actifio, Cool Planet, Couchbase, Demandware, Mavenir Systems, Paydiant, Proto Labs, Reval and Starent Networks. The firm has offices in Waltham, MA and Palo Alto, CA. To learn more about North Bridge go to http://www.northbridge.com. For more information on the Future of Cloud Computing program, visit: http://mjskok.com/resources/cloud-computing. Follow us at @North_Bridge.
About CloudHealth Technologies: CloudHealth is changing the way organizations manage cloud environments. The company's cloud management platform aggregates, correlates, and analyzes data from disparate data sources so that enterprises and service providers can align cloud operations with business objectives, reduce costs and ensure service levels are being met, based on an optimally performing cloud environment. The company is backed by .406 Ventures and Sigma Prime Ventures and is headquartered in Boston, MA. For more information, visit www.cloudhealthtech.com or follow us on Twitter @cloudhealthtech and LinkedIn.
"With four years of data, we're now really beginning to see some interesting trends, such as the five-fold increase in SaaS adoption to 74% and the nearly six-fold increase in PaaS adoption to 41%." said Michael Skok, founder of the Future of Cloud program and General Partner, North Bridge Venture Partners.
Select Highlights from the Survey Data:
Cloud Adoption Is Strategic
- 49% of respondents in this year’s survey are using cloud to fuel revenue generation or new product creation.
- 45% of businesses say they already, or plan to, run their company from the cloud showing how integral cloud is to business.
- From 11% adoption in 2011 to 74% in this year’s survey, but in the enterprise it is still mostly transitioning existing applications.
- The front office is leading the way with sales and marketing at 51% adoption, customer service, and analytics both at 43% adoption.
- 56% of businesses are using Infrastructure-as-a-Service (IaaS) technologies to harness elastic computing resources.
- 41% of businesses are using Platform-as-a-Service (PaaS) technologies to prototype and develop new applications.
- Two thirds of respondents believe their data will come to reside in some form of cloud over the next two years as bigger data needs consolidation and collaboration & creation go online.
Over the last few years, the top three drivers for cloud adoption have remained constant with agility, cost and scalability. One area that is changing as a driver though is that companies are increasingly moving workloads to the cloud to switch capex for opex. This is especially true for large companies with more than 5,000 employees.
"Cost, scalability and agility have made cloud computing strategic to business success. But cloud adoption also significantly increases business management complexity,” said CloudHealth Technologies CEO and Co-founder Dan Phillips. “To embrace the full strategic potential of the cloud, executive teams must find new ways to assert the necessary business controls to address reliability, provisioning, security, and regulatory and compliance needs."
Transition To Cloud - The First Cloud Front
"This wave of cloud computing that's revenue and new business driven is good news for long-suffering IT execs, said David Card, Vice President of Gigaom Research. “If they can offload tedious but necessary cost-center functions, and refocus resources on cloud-driven new business, they might be able to retake their seat at the C-table."
"Even though it's largely just a transition of existing apps, the first cloud front has rolled in confidently each year as existing applications transition to the cloud and are adopted as SaaS solutions. Cloud is now integral to business with 45% of executives saying they currently or plan to run their business in the cloud," said Michael Skok, General Partner at North Bridge Venture partners.
Transformation In The Cloud - The Second Cloud Front
“With over 11,000 Cloud Services / APIs, and developer adoption of IaaS at 56% and PaaS at 46% respectively, we are going to begin seeing the birth of new, re-imagined, cloud-native applications,” said Skok. “These applications, which are only possible in the cloud, will result in an order of magnitude greater value creation than the first cloud front. This second cloud front will be transformative," Skok continued.
For more about this second cloud front please visit the “2014 Future of Cloud Computing” results page.
Data Wants To Be Bigger In The Cloud
"If you get your head out of the sand and into the clouds you'll see the explosion of cloud-created data. It's not just big data, it's exhaustive data, as everything from clickstreams to commerce and personal cloud lockers create exabytes of data. According to Cisco, personal, cloud-carried data alone is estimated to grow from 1.7 exabytes in 2012 to 20 exabytes by 2017," said Skok.
2014 Future of Cloud Computing Survey Collaborators:
Supporting Links: View presentation: 2014 Future of Cloud Computing Survey Presentation http://www.slideshare.net/mjskok/2014-future-of-cloud-computing-4th-annual-survey-results http://mjskok.com/resources/cloud-computing Join the conversation: Future of Cloud on Twitter using hashtag #futurecloud and/or @North_Bridge and @futureofcloud.
About North Bridge: North Bridge Venture Partners and North Bridge Growth Equity are active partners with entrepreneurs providing seed-to-growth financing for innovative companies looking to disrupt big markets. With $3.5 billion in capital currently under management, North Bridge partners, many founders themselves, work with entrepreneurs to apply their expertise in the creation, operation and scaling of market-leaders. The firm has funded more than 170 companies creating many billions in market value. Among those firms are Acquia, Actifio, Cool Planet, Couchbase, Demandware, Mavenir Systems, Paydiant, Proto Labs, Reval and Starent Networks. The firm has offices in Waltham, MA and Palo Alto, CA. To learn more about North Bridge go to http://www.northbridge.com. For more information on the Future of Cloud Computing program, visit: http://mjskok.com/resources/cloud-computing. Follow us at @North_Bridge.
About CloudHealth Technologies: CloudHealth is changing the way organizations manage cloud environments. The company's cloud management platform aggregates, correlates, and analyzes data from disparate data sources so that enterprises and service providers can align cloud operations with business objectives, reduce costs and ensure service levels are being met, based on an optimally performing cloud environment. The company is backed by .406 Ventures and Sigma Prime Ventures and is headquartered in Boston, MA. For more information, visit www.cloudhealthtech.com or follow us on Twitter @cloudhealthtech and LinkedIn.