As we roll through the first part of 2016, many businesses are still developing their paths forward. Employees may still be reflecting on the past year and brainstorming what to expect in the months and year ahead. They start asking themselves, how will my industry change by the end of 2016? Who will emerge as the major players? How will my company fit into the evolving landscape? While technology innovation is constantly in flux, it’s safe to say the cloud sector will continue its steady momentum until mass adoption is realized in 2017-2018. So, what’s in store for 2016?
Over the course of the next few months, we can expect the cloud industry to evolve in response to market needs and technology advancements. For instance, we will see an increased emphasis on cloud security. Several high profile security hacks in 2015 — including Ashley Madison, JPMorgan Chase and Home Depot — have caused some to call the security and reliability of the cloud into question. With these high-profile hacks, security is once again front and center. With hackers active worldwide, service providers need to be prepared to address user concerns around data protection, loss or mismanagement in an effort to restore trust.
To stay ahead of these security concerns, we can expect big players, such as Amazon, IBM (News - Alert) and Oracle, to proactively provide security best practice reports or tips while tapping predictive analytics to assess potential vulnerabilities. Already, Amazon releases whitepapers and reports detailing cloud architecture and effective uses of the technology to safeguard customer data. Other players will surely follow suit, underscoring the value of employee security training, robust role-based access controls for business data in the cloud, multifactor authentication for all cloud apps and, most importantly, choosing cloud vendors that adopt established security standards.
2016 should also see continued M&A activity in the cloud industry. Increasingly, businesses are recognizing the value of incorporating the cloud into their business model so that customers can operate according to cloud best practices from the onset of the relationship. We saw companies like Rapid7 acquire LogEntries, a provider of machine data search technology, to create a cloud-based security data and analytics solution in 2015. We should continue to see like strategies play out as more organizations see value from eliminating the need to integrate their existing systems with the cloud later on.
By late 2017 and into early 2018, cloud will have become the preferred choice amongst individuals and businesses. In fact, according to a recent Technology Business Research report, the rate of cloud adoption in 2018 is expected to grow to 85 percent, becoming an $80 billion dollar industry by 2019.
While 2018/2019 may seem far away, the industry is actually moving at a record pace. Just fifteen years ago, the cloud was a mysterious technology that many large enterprises were wary of. However, by the mid-2000s, Amazon had adopted a cloud computing infrastructure model — driving mass adoption by several forward-thinking organizations eager to similarly benefit from greater efficiency within existing capacity.
There’s no question, today, that the cloud here to stay. As it becomes more and more ingrained in businesses, we can expect it to drive even greater opportunities for innovation.
Pete Zimmerman is Vice President of Client Services and Operations, Sonian. He is responsible for delivering the world class, high availability and superior customer satisfaction the Sonian customers and partners expect. He joined Sonian as one of the first employees, bringing over 15 years experience in SaaS (News - Alert)-based messaging and collaboration solutions. During that time he has demonstrated a strong will and determination to do whatever it takes for Sonian’s valuable customers and partners. Pete has also been a key contributor to the Sonian Product Management team. Prior to joining Sonian, Pete worked for Wipro/Infocrossing (News - Alert) as the Director of Business Integration in their hosted messaging and collaboration unit. While at Wipro/Infocrossing, Pete created and delivered a range of training and policy consulting services to compliment the on boarding of enterprise customers to the company’s integrated, policy based messaging platform. Pete and his family have been long time supporters of the United Nations Unaccompanied Minor Refugee program raising three foster sons from Liberia and Myanmar (Burma) who are now all attending college in Massachusetts. Pete has a B.A. in Political Science from the University of California – San Diego.
Edited by Stefania Viscusi