Businesses have been tested by COVID-19 and those that were digitally prepared for change were better enabled to adaptation and responsiveness during the crisis.
Looking forward, IT leaders will continue investing in key enabling technology such as integrated cloud platforms, intelligent automation, AI, blockchain, IoT, and advanced data analytics. Supporting these new technologies will require a transformation in operating models and licensing agreements, particularly as cloud computing continues to grow.
According Gartner forecasts, global cloud application services (SaaS) revenue will reach US$133 billion in 2021 while cloud system infrastructure services (IaaS) revenue is anticipated to reach US$61.3 – respectively making up 43% and 20% of expected total public cloud service revenue worldwide.
As intelligent technologies develop in reach and capacity, next-generation solutions are becoming synonymous with ‘cloud-enhanced’ since businesses expect greater flexibility and mobility offered through cloud-based platforms.
At Invictus Partners, we anticipate businesses will prioritise building, implementing and maturing cloud strategies in the coming years, particularly as COVID-19 highlighted the necessity for digital agility in managing disruption and adapting to change quickly.
The cloud managed service market continues increasing in complexity, sophistication, and available options. Gartner anticipated up to 60% of organisations will use an external service provider’s cloud managed service by 2022, which is double the percentage of businesses from 2018.
As organisations increase their reliance on cloud-based technologies, IT teams are rushing to implement cloud-built applications and relocate existing assets while CIOs focus investment toward various applications of cloud computing. This demonstrates the importance of being cloud ready and adaptable in a future the changes rapidly.
With the development of new IoT ecosystem, fog computing, and dynamic deployment of containerised software across cloud to edge, software licensing is set to become even more complex. Solution providers are finding challenges with cloud-based solution deployment methods and IOT, particularly in latency. The key solution is optimising location processing, shifting more organisations towards hybrid-cloud models that incorporate fog and edge capabilities.
IDC forecasts that data increases from connected IoT devices will see a compound annual growth rate of 28.7% between 2018 and 2025. The lion’s share of data will be continue being generated from video surveillance applications with industrial and medical also increasing its data generation, thereby increasing the need for fog and edge computing.
Big Data, AI, IoT, and data analytics will all increase the sophistication of technology solutions and licences available. And while the future of technology is bright with possibilities, organisations should first understand its present situation before planning for further horizons.
Licence optimisation provides a digital blueprint for supporting growth and innovation. To learn how Invictus Partners’ licence services can help your business better management, procure, and utilise your technology real estate, download our free industry whitepaper.