2023 Cloud Predictions
Updated: Jan 24
As we are now into the new year it is time to share our predictions for the Cloud in 2023.
It is coming up to twenty years of the cloud and the white-hot pace of innovation which saw new and unexpected innovations being launched at regular intervals has started to give way to, what some may say is mundane, stability. The pace of cloud innovation in 2023 is likely to reflect its continued maturing with fewer big-bang leaps and more incremental improvements and product extensions.
This state of innovation in the cloud was highlighted by cloud commentators of the AWS 2022 Reinvent such as Brian Gracely’s CloudCast podcast, in which he shared that he felt that Reinvent wasn’t that exciting and that now the foundation of cloud computing is built, it is unlikely to show real innovation going forward.
This is actually good news for users though. As the core capabilities of cloud computing are now in place and stable, it is possible for users to create reliable plans without worrying that their application architecture will be obsolete in six months.
In 2021 growth in cloud usage stood at 29% and has continued to grow at this rate through 2022. We expect this growth to continue into 2023 as more companies plan to move all their on-premise data into the cloud. Some may be making the jump to the cloud in one move in 2023, whilst others will be moving from hybrid usage to being all-in with the cloud. It is not a surprise that organisations continue to look to migrate storage and computing to the cloud as the business case for migration has been proven and is easier to sell to the CFO than ever.
Cloud AI As-a-Service
Following the sensational release of ChatGPT and Dall-E-2 in 2022, we predict that AI uptake in 2023 will continue to skyrocket. More organisations will adopt AI services and cloud providers, including Cloud ERP providers, will offer an increasing number of AI-based services to support this growth. For example, services such as AI chat will continue to support customer service teams to manage and route queries effectively but the interaction with the AI service will begin to feel more fluid and human than ever before.
In 2023 we expect many more organisations to utilise the cloud to meet their sustainability goals. According to an IDC survey, 83% of respondents agree sustainability is the most important criteria in IT buying decisions. By 2025, IDC expects 85% of organizations will see a 35% increase in sustainable efficiencies by using software and cloud-based infrastructures.
It is more effective to run the cloud versus on-prem, additionally, if an organisation has an entire data centre in the cloud it produces less carbon than the on-prem equivalent. The adoption of cloud computing can prevent the emission of more than 1 billion metric tons of carbon dioxide from 2021 through 2024, according to IDC. Cloud provider AWS have built an infrastructure that is designed to operate efficiently at scale. This enables both AWS and their customers dramatically reduce the energy used to run workloads.
If your organisation is wanting to migrate to the cloud, FifthQuadrant can aid the process of moving to the AWS cloud.