2016

2016 Cloud Predictions


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In the US, 2015 marked the point when cloud computing matured and became the go-to platform for a large portion of enterprise applications and data. The flexibility, scalability, and reduced CapEx costs drove this paradigm shift from traditional on-premise infrastructure. With public cloud data centers springing up around the globe, expect this trend to thrive overseas. Frankfurt, after all, was Amazon’s fastest growing international region mere months after its launch last year. I predict the new UK region will break that record.

In 2016, the industry will see an unquestionable maturing of offerings, with a focus on enterprise computing needs that go beyond test environments. Aside from that, here are some other areas to watch in 2016:

Business Level Automation:
So much flexibility in the cloud inevitably leads to sprawl. Idle instances left turned on, volumes active but not in use and test environments left running all weekend are just some of the things that can lead to management complexities and massive overspend.

Business-level automation of the cloud with platforms like CloudHealth allows executives to feel confident that their cloud spend is justified and that all resources are fully utilised. CloudHealth CTO and Founder Joe Kinsella explains this emerging market by what he calls, “the ‘Complexity Gap‘ – where the complexity of the building and managing cloud infrastructure is outpacing the ability of management software/services to contain this complexity.” No organization should waste precious DevOps resources by having them write and maintain automation scripts to manage their infrastructure. Employing engineers to keep up with Amazon’s pace of innovation (516 new features in 2014 alone) is, as Werner Vogels put it, like trying to fight gravity.

History in this space continually shows that trying to build and maintain a solution that is not core to your business will quickly become an unnecessary cost center. In 2016, enterprises will define policies that allow smart software to automatically drive governance and ensure that internal rules are followed.

Security Fears Will Wane:
With limited options for public cloud-native security solutions, Amazon stepped in with its web application firewall announced at re:Invent 2015. Just as traditional hardware vendors are becoming obsolete because of the cloud, infrastructure software is heading down the same path. Alert Logic’s Cloud Insight is an excellent example security management services that help companies identify loopholes that could put them at risk in the cloud. A majority of cloud security breaches are due to misconfigurations, so providers that can help monitor this risk and provide actionable recommendations will thrive in 2016.

Enterprise security is a complex problem to solve. Enterprises need a single solution that covers overall governance of their cloud environments. Even in the finance industry where security needs to be watertight, a recent study by the European Union Agency for Network and Information Security (Enisa) concluded that cloud security misunderstandings are a dime a dozen.

2016 will be the year when CTOs and CIOs enforce rules for working in the cloud…and they will do so with smart software that governs the entire estate.

Already happening…Tesco Bank – The cloud was “business as usual” within just 8 months in 2015.

Overseas IaaS Adoption Will Explode:
With Amazon and Microsoft launching data centers in the UK for the first time, expect massive adoption by UK businesses. This decision also reduces some of the problems associated with data sovereignty and data residency rules and lessens the blow of the invalidated US-EU Safe Harbor framework.

Long-standing British insurance company Aviva, which traces it roots as far back as 1696, expects to have 200 environments migrated over and running in AWS before the New Year. With Amazon and Microsoft expanding into India, China and Korea, massive adoption in Asia is also right around the corner.

 

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London Calling! Microsoft follows AWS into the UK

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Less than a week after Werner Vogels announced AWS’ third region coming to the UK, Microsoft has followed suit. Looking to attract more customers as the cloud vendor war heats up, CEO Satya Nadella revealed today in London that Azure, Dynamics CRM and Office 365 services will be available from a UK data center region by the end of of 2016.

Both moves confirm the importance of the UK in the cloud computing landscape and qualm EU fears of PII leaving the Union, especially in light of the EU top court’s ruling of the U.S.-EU Safe Harbor Framework last month. 

It will be interesting to see how the customer adoption battle plays out. AWS regions typically consist of multiple, physical data centers making up their multiple Availability Zones (AZ’s) and Direct Connect (DX) locations.  Microsoft’s regions, however, appear to consist of only one  distinct data center per location, i.e. Japan “East” and Japan “West”. Which strategy is better for hosting cross-site high availability applications in the UK?

All in all, 2016 is already shaping up to be a very interesting year for cloud computing in the UK. Let’s see what the New Year brings!azurevsaws

 

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