Cloud Migration and its Benefits
Gone are the days when organizations used to spend a huge amount of money on setting up the infrastructure to store data within their premises. Companies nowadays are moving thick and fast to a cloud-based setup. According to a report, 90 % of companies use some type of cloud services.
We all use the cloud in one way or the other in our day-to-day activities, to name a few Google Drive, One Drive tops the list.
In this blog, we will touch base on the benefits of cloud and a few use cases of how organizations have benefited from cloud migration.
- On an average business run 38% of the workload in public cloud & 41% in private cloud
- 84% of enterprises use multi cloud strategy
- According to the Gartner forecast, the revenue from SaaS alone will be 113.1 billion in 2021
- IaaS is the fastest-growing cloud spending service with 5-year CAGR of 33.7%
- 75 % of the workload and compute instances will be SaaS by 2021
Benefits and uses cases of cloud migration
Cost savings is one of the important benefit that cloud brings in, along with other benefits such as scalability, security, etc.
Use case of how a leading music instrument company saved $500,000 annually and freed up their IT resource by migrating to the cloud
- Too much time was spent on replacing hardware and maintenance activities by their IT staff, which meant they had very little time for new initiatives
- The company wanted, its IT staff to spend 70% of their time in new initiatives and 30% of their time on maintenance
The production system was moved to AWS cloud-managed environment.
Moving to cloud saved the company $500,000 annually and it also freed up their IT staff to spend time on other tasks.
Cloud offers flexibility for both clients and the employees. Files can be accessed from any part of the world anytime; it can also be connected through virtual machines through web-enabled services. According to a survey, 65% of the people thought the ability to quickly meet business demands was one of the most important reasons a business should move to a cloud environment.
Use Case on how cloud helped a leading video delivery company
A leading video delivery company whose service is used by leading sports networks and other companies to deliver video. In a short period, the company has become a leading online delivery platform across North America.
The company was growing fast and required investment in infrastructure, but the management was not keen on investing in on-premise infrastructure
Handling increasing request was difficult, as the existing infrastructure did not provide flexibility.
Around 1 TB of data was being hosted at that time
The company moved its entire on-premise system off to a public cloud which gave them the flexibility to increase capacity when it is required, and it also saved them from upfront cost on infrastructure.
Cloud storage capacity can be scaled or shrunk any time according to the needs of the business. Storage forecasting and ad hoc scalability is difficult in on-premise server.
A leading insurance company based out in Thailand was looking for a scalable and reliable echo system for the business to grow.
The company used some machine learning techniques which required an increase in their server capacity, but the company did not want to spend on infrastructure cost.
The company moved to AWS, as it suited their machine learning as well. Moving to the cloud provided them the scalability of increasing their capacity when required.
- The company reduced its premium cost by 10 to 20% as their spending on infrastructure reduced
- The revenue increased by 30% month on month
During the initial day's organizations were hesitant to use cloud citing reasons of security. They did not want to store their data somewhere else. Years later security is now considered as one of the key selling points for cloud migration.
Cloud providers regularly install patches for clients which reduces the downtime and it reduces the possibility of becoming a victim of security attack. Cloud services encrypt all the data and offer tools for sharing the data.
Companies nowadays are hesitant to spend on on-premise infrastructure and require a secure system to store their data which can be scalable when required. Cloud is the best solution for their needs.
Write to us at firstname.lastname@example.org to know more about how we helped fortune 500 clients with cloud migration.