SANTA CLARA, Calif. – Oct. 27, 2016 – ServiceNow (NYSE: NOW),
the enterprise cloud company, today released a new report, “The
2016 Cloud Computing Tipping Point.” It reveals adoption reality
finally measures up to hype for cloud computing. There are
game‑changing consequences for IT departments as DevOps’ influence
extends across the enterprise.
To better understand the adoption, drivers and implications of an
increasingly cloud‑centric world, ServiceNow commissioned a survey of
1,850 mid‑ to senior‑level managers. It was a global study, evenly
split among IT leaders, line‑of‑business management and DevOps professionals.
The 2016 Cloud Computing Tipping Point research revealed three
Adoption Reality Finally Measures Up to Hype for Cloud Computing
- More than half (52 percent) of respondents said they would
choose cloud — software as a service or platform as a service — for
new business applications as the platform of choice over on‑premises
- 77 percent said they would complete the shift
to cloud within two years.
“For years pundits have waited for an enterprise shift from
traditional data center computing to cloud computing,” said Dave
Wright, chief strategy officer, ServiceNow. “Today reality meets hype,
and cloud‑first consumption will accelerate at a break‑neck speed in
the next two years.”
DevOps Drove the Charge to a Cloud‑First World
- Nearly every respondent (94 percent) reported that they are
involved in some way with the DevOps movement, a philosophy with
origins in the agile development community. The goal of DevOps is to
drive the rapid creation and hosting of new apps and services.
Traditionally there was little interaction between IT and developers
but the DevOps movement aims for early and frequent collaboration
between these groups.
- A large majority (76 percent) said
that the rise of DevOps is a major factor driving the move to
cloud‑first. Increasing the development cadence puts pressure on how
enterprises deploy new applications. DevOps shines a spotlight on
the bottlenecks incurred when hosting apps on company‑owned
infrastructure. Cloud is the way to rapidly add new streams of
revenue‑driving apps to fuel business growth.
“Cloud is not new, so why was 2016 the year enterprises became
cloud‑first? According to the survey, the answer is the rise of
DevOps,” said Wright. “DevOps saw early that cloud computing could
solve many of the issues they were grappling with. And DevOps’s
‘can‑do’ vibe – enabled by cloud – is extending across the enterprise.”
A Cloud‑First World Demands New IT Skill Set
- 89 percent of companies who have completed the shift to a
cloud‑first model said their current IT staff lacked the required
skill sets to be successful in the new cloud world.
percent feel cloud could be a replacement for a formal IT department
at least some of the time.
IT will have to adapt to this new reality, where most of the apps
and infrastructure are outside the data center.
- 72 percent said the cloud shift actually raised IT’s relevancy
to the business.
- 68 percent said IT will be completely
essential in the future.
“Amidst the cloud‑first shift, there are ominous signs for IT if
there’s no change,” said Wright. “We believe this presents a real
opportunity for those visionary IT organizations who can become
strategic partners to the enterprise during this shift to cloud‑first.”
The cloud‑first shift has several likely consequences for IT departments:
IT visibility and cost predictions could be obstructed:
According to survey respondents, two top priorities in the cloud
IT must have full visibility of the
organization’s compute environment, including all cloud‑based
services and applications. Visibility helps IT more effectively
manage demand, understand compute costs, utilize cloud‑ and
on‑premises‑based resources, execute on projects, ensure regulatory
compliance, and manage business relationships.
- Achieving 360‑degree visibility (64
- Predicting the cost of computing (63
The rise of DevOps means more of the enterprise will be playing
in IT’s backyard: IT teams will be seeing more business app
projects coming from the bottom up, and will need to enable the line
of business with greater tools to code. At the same time, they’ll
need to maintain control of their enterprise environment for
security and compliance. They’ll need to delegate
development to a growing legion of employees with DevOps
Cloud growth means cloud sprawl: Implementing more agile
cloud management policies and best practices will be critical.
Companies will have to deal with a greater number and types of
vendors, and those vendors will come and go more quickly than they
may be accustomed to. That means Service
Integration and Management (SIAM) and vendor management will
Read the full
survey report to find the five steps to help IT teams transition
from a builder to a broker of services.
About the Research
ServiceNow commissioned ReRez Research of Dallas, Texas to survey
large organizations in the U.S., U.K., Australia, Singapore, Germany,
France and the Netherlands during August 2016. The survey included
1,850 senior managers in total, split evenly between IT, DevOps and
line‑of‑business management roles.
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make up day‑to‑day work life, we help the modern enterprise operate
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