NetApp, a cloud-led, data-centric software company, released the 2023 Cloud Complexity Report, a global survey exploring how technology decision makers are navigating cloud requirements coming from digital transformation and AI initiatives and the complexity of multicloud environments. The report found that 98% of senior IT leaders have been impacted by increasing cloud complexity in some capacity, potentially leading to poor IT performance, loss in revenue, and barriers to business growth.
Cloud complexity reaches a tipping point
Data complexity has reached a boiling point for companies globally, and tech executives are feeling the pressure to contain its impact on the business. However, technical and organizational challenges may stunt their cloud strategies, with 88% citing working across cloud environments as a barrier, while 32% struggle just to align on a clear vision at the leadership level.
Different regions have different main concerns if data complexity is not managed. One of France, Spain, Australia, and New Zealand’s major concerns is cybersecurity. France, Spain, and Japan are additionally concerned with leadership skepticism. Australia and New Zealand are concerned with inefficient use across the organization. Finally, Japan is additionally concerned with a lack of visibility.
Leadership want cloud results now
Sustainability has become an unexpected cloud-driver, with nearly eight in ten tech executives citing ESG outcomes as critical to their cloud strategy. However, return on investment (ROI) is a concern among leadership, with 84% of tech executives saying their cloud strategy is already expected to show results across the organization. Nearly half of tech executives (49%) report that when cloud strategy discussions happen, cost concerns come up often or all the time. Additionally, data regulation and compliance is another cloud driver, with various local regulations promoting their multicloud strategy most or some of the time.
Tech executives consider AI a possible solution
In the next year, over a third (37%) of tech executives report that half or more of their cloud deployments will be supported by AI-driven applications. Nearly half of tech executives at smaller companies—those with fewer than 250 employees—expect to reach the 50% mark in the next year, and 63% by 2030, while larger companies lag.
The U.S. leads EMEA and APAC on plans to deploy AI-driven cloud applications in the next year, with France and Japan as outliers in their regions. In contrast, scaling AI is the top priority in EMEA and APAC, but is second in the U.S., behind meeting regulatory compliance.
NetApp partnered with Wakefield Research to conduct a quantitative research study during November 2022, among 1,300 tech and data executives at businesses in 9 markets: US, EMEA (France, Germany, Spain, the UK), and APAC (India, Japan, Singapore, and Australia/New Zealand). At the time of completion, all participants held positions that were classified as “director-level and above” and worked across IT, IT infrastructure, cloud infrastructure and data engineering departments.
To learn more and access the full report and infographic, visit NetApp’S official website.