The adoption of the public cloud had been on the rise, and the rapid digital transformation induced by COVID-19 gave it a further boost across industries as it outpaced all expectations. As COVID-19 began to spread, organizations started to migrate from data centers to cloud solutions. In the process, most organizations chose the public cloud as a reliable resource for continuing their business. Here’s all you need to know about the impact of COVID-19 on cloud usage.

The Rise of Cloud

This year, almost all the organizations used at least one private or public cloud, with Google, Azure, and AWS being the top cloud providers. At present, half of the workload and around 46% of data is saved on public clouds.

Organizations use 2.7 private and 2.6 public clouds while experimenting with an additional 2.2 private and 1.1 public clouds. A hybrid cloud approach (using both private and public clouds) would dominate in 2021.

Growing Expenditure on Cloud

The monthly spending on the cloud increases as its use grows. The public cloud has formed a significant chunk of IT budgets across organizations. Statistics show that organizations spend as much as 12 million dollars per annum (that is 1 million dollars a month) to pay for cloud hosting solutions. This number has almost doubled from 16% in 2020 to 31% in 2021.

As organizations are scaling up their cloud servers, it’s challenging to accurately forecast the accurate costs because the average public cloud spending goes over 24% on average.

An illustration showing cloud computing


The Challenges of Migrating to Cloud

Today’s rapidly evolving and complex IT environments present different challenges during cloud migration. Among these, the challenge to map relationships across hardware, apps, and networking devices stays on top.

While app dependencies are one of the top challenges of cloud migration, they’re followed by assessing cloud vs. on-prem costs, assessing technical feasibility, rightsizing instances, and deciphering the implications of BYOL terms.

Businesses and organizations of all levels have site security as one of the top challenges. A lack of expertise and resources encumbers organizations at the intermediate or beginner stages of cloud maturity.

For advanced organizations with cloud maturity, it’s difficult to manage the cloud expenditure. As companies continue to increase cloud usage, optimizing cloud costs will continue to stay an important step in utilizing investments and concentrating on resilience and innovation.

Get the Best Cloud Server Solutions

Galalee Software solutions can help your organization accelerate into cloud hosting solutions that will make your work processes smarter and efficient. Now you can work at the ease of your home, 100 miles away from your office, and you no longer will have to worry about data security. Get in touch with us to make the shift.