The Rise of Managed Cloud Services
Over 35% of expenditures for enterprise-level IT operations will be consumption-based, according to a recent IDC report. The need to maximize the return on investment (ROI) combined with the current shortage of cloud and security experts is driving spending on managed cloud services, which IDC expects to reach nearly $18 billion annually in the US by 2022. Outsourced IT will account for nearly one-fourth of this figure with IT-as-a-Service (ITaaS) picking up steam recently.
In that same report, they predicted that consumption-based procurement solutions like Amazon IaaS and HPE GreenLake will exceed traditional procurement by the end 2021. This trend increases the need for line-of-business owners to work with their IT team more closely to create solutions to facilitate business success. In particular, staying competitive in today’s business environment requires companies to streamline their workload and manage it efficiently from creation to consumption. Enterprises must therefore consider adopting the latest consumption-based models that also offer AI solutions.
Why Transition to Hybrid Cloud Architecture?
The most common reason for embracing hybrid cloud architecture is to create a more agile infrastructure. Cloud platforms are often the best solution for upgrading, expanding and replacing existing infrastructure but not all clouds or applications are alike so you need choices for your different workloads. Solutions like GreenLake allow you to get technology and services on demand, which ensures organizations can scale their operations and deploy them at speed without making upfront investments. Clients can also modernize their infrastructure by consolidating cloud solutions into a unified architecture with a single pane of glass (via solutions like HPE GreenLake Central), even when those solutions are located both on-and off-premises.
Hybrid architectures like GreenLake allow you to begin your cloud journey and grow hybrid cloud environments at your own pace. The rapid proliferation of DX initiatives, combined with the increasing number of locations and application deployment models tends to increase data silos. Creating a base that has a hybrid model with one pane of glass to view your architecture can help eliminate those silos and bring different clouds into the fold. This approach to infrastructure ensures an organization can remain agile while scaling its operations.
Benefits of Consumption-Based IT
The greatest advantage of consumption-based IT such as GreenLake for organizations that are just starting to explore hybrid clouds is that it provides IT resources with capabilities similar to a public cloud, including automation, rapid provisioning, and scaling of resources but still allows you to maintain some architecture on premises.
Consumption-based IT also provides a single point of contact for each implemented solution. Clients are thus able to resolve issues easily and efficiently due to each vendor’s expert knowledge of its own solutions. This approach to IT also eliminates the complexity of managing multiple clouds on your own. In addition, it delivers on business outcomes by tying them directly to IT solutions and their services. Service providers can then tailor solutions to create the desired outcome.
Challenges of Migrating to a Hybrid Cloud Architecture
Cost and time-to-value are major obstacles in migrating to the cloud, as enterprises must often fund this effort by diverting resources from developing new businesses. IDC recommends that organizations eventually deploy over two-thirds of their applications across multiple cloud infrastructures, despite the high cost of this solution because they see the overall TCO in the end. Time-to-value is also becoming an increasingly significant challenge because enterprises typically struggle to manage their infrastructure during this transition. Furthermore, the unpredictable nature of implementing and managing cloud platforms increases the value of managed services.
HPE GreenLake Creates an Optimal IT Strategy
HPE GreenLake is a hybrid cloud solution that delivers IT outcomes with a pay-per-use model, including on-site hardware and cloud infrastructure. Managed by Comport, HPE GreenLake provides you with the capacity you need today via hybrid cloud facilitating a hybrid cloud architecture now or in the future that allows you to grow with your business by actively managing from a central location via GreenLake Central. GreenLake can also support a growing number of workloads as a service from both HPE and its partners. Get started by test driving HPE GreenLake to understand the impact it will have on your business.