Blanket cloud is good news for tech providers, says Gartner

Gartner, cloud, enterprise

Technology providers will increasingly be able to assume that their customers are using cloud capabilities as corporate "no-cloud" policies disappear, Gartner has said.

Many organisations that claim not to use the cloud actually have some “under-the-radar or unavoidable” cloud usage, according to Jeffrey Mann, Research Vice President at the research house.

Although the "concern" that some businesses have about shifting to the cloud remained "valid in some cases", Mann said a no-cloud position will become “increasingly untenable”.

Gartner said a hybrid approach would be the most common way for enterprises to use the cloud.

It is predicting that the 100 largest vendors' new software investments will have shifted from cloud-first to cloud-only by 2019.

Mann said: "Cloud will increasingly be the default option for software deployment.

“The same is true for custom software, which increasingly is designed for some variation of public or private cloud."

According to Yefim V. Natis, Vice President and Gartner Fellow, the future looks bright for cloud providers.

He said: “As delivery shifts more to the cloud, most IT organizations will have to reorganise to reflect the business realities of cloud computing: continuous innovation and change, pervasive integration, competing with cloud providers for some initiatives, and crucial prevalence of influence over control in IT's relationship with lines of business.

“While historically the greatest competitor to external service providers has been internal IT, with spend shifts, structural reorganisations and the business realities mentioned above, cloud providers will be in the position to gain the upper hand."

Telcos continue to boost their cloud propositions and sign new deals as they battle against IT providers.

In April, Swisscom signed a five-year deal to provide insurance company Swiss Re with a range of global cloud services.

The previous month, Deutsche Telekom launched a public cloud service that it hopes will take the fight to Amazon and Google in Europe.

More News

Telia lowers Uzbek fine expectations, finally sells Tcell, as it reports Q1 numbers Telia lowers Uzbek fine expectations, finally sells Tcell, as it reports Q1 numbers Telia has said it hopes to pay less than anticipated for alleged corruption in Uzbekistan, as it finally sold off its opco in Tajikistan. More detail
KPN sees wholesale problems add to its business woes in Q1 KPN sees wholesale problems add to its business woes in Q1 KPN’s wholesale arm registered a double-digit decline in sales in the first three months of the year, although the operator made headway on improving its profits. More detail
Swedish operators investigated over preventing new market entrants Swedish operators investigated over preventing new market entrants Mobile network operators in Sweden are being investigated for potentially having breached EU antitrust rules. More detail
BICS set to acquire TeleSign for $230 million BICS set to acquire TeleSign for $230 million Proximus subsidiary BICS is set to acquire TeleSign as it seeks to expand its presence in cloud communications. More detail
Ericsson hits new low on operating loss, "unacceptable" performance at IT, cloud arm Ericsson hits new low on operating loss, Ericsson CEO Börje Ekholm described the vendor’s latest financial performance as “unsatisfactory” as it saw sales and profits tumble. More detail
    

@eurocomms