Cloud Computing Trends in 2020 

The latest cloud computing trends are expected to focus on infrastructure-as-a-service (IaaS) and platform-as-a-service (PaaS)  

Research shows that enterprises are continuing to embrace multi-cloud and hybrid cloud strategies and that many companies are already using more than two public and two private clouds on average.

Businesses are expected to increase their cloud spend by almost 50 percent this year, however, many businesses continue to significantly exceed their cloud budgets. This means that optimizing cloud usage remains a top priority for businesses, followed by migrating more workloads to the cloud.

Due to COVID-19, the majority of businesses are expecting to increase their cloud usage this year. Enterprise adoption of Azure continues to draw closer to the market leader, AWS. Google Cloud adoption has also grown to narrow the gap with Azure. The adoption of PaaS from cloud providers continues to increase with container-as-a-service (CaaS) now only second to database-as-a-service (DaaS).

2020 cloud computing usage trends

Enterprises embrace multi-cloud

    • 93 percent of enterprises have a multi-cloud strategy; 87 percent have a hybrid cloud strategy
    • On average, companies use 2.2 public and 2.2 private clouds
    • 20 percent of enterprises spend more than US$12 million per year on public clouds
    • 59 percent of enterprises expect cloud usage to exceed prior plans due to COVID-19
    • Organizations are over budget for cloud spend by an average of 23 percent and expect cloud spend to increase by 47 percent next year
    • Respondents estimate organizations waste 30 percent of cloud spend
    • 73 percent of organizations plan to optimize existing use of cloud (cost savings), making it the top initiative for the fourth year in a row
  • The top three public cloud providers for enterprises remain AWS, Azure, and Google
  • Azure is rapidly narrowing the gap with AWS in both the percentage of enterprises using it and the number of virtual machines (VMs) enterprises are running in it
  • Among the larger providers, Google experienced the fastest growth in enterprise adoption since last year’s survey
  • At 63 percent, relational DBaaS has the highest adoption among enterprises
  • AWS, Azure and Google container-as-a-service offerings are experiencing notable growth

Multi-cloud strategies are dominating business solutions, with the most common approach among enterprises a mix of multiple public and multiple private clouds. Because of enterprise adoption and the pandemic, optimizing cloud solutions is the focus of providers for both public and private use.

Organizations are adopting cloud solutions because of its scalability, economy, and reach. And they’re using several metrics to measure the resulting business value of the cloud. Cloud advantages have proven to be especially valuable as organizations were able to virtually overnight adapt working from the office to working from home due to lockdowns worldwide.