Cloud technology is accelerating the cloud computing growth of digital transformation. Companies invest and operate in cloud technology to mitigate or eliminate tech discrepancies to keep pace with the changing consumer demands and survive in the face of the digital-first future.
Cloud technology will continue to be a bastion of safety and innovation by supporting business growth during uncertain times with its agile, elastic, and scalable nature. “Current inflationary pressures and macroeconomic conditions are having a push and pull effect on cloud spending,” said Sid Nag, Vice President Analyst at Gartner.
According to the latest forecast from Gartner, Inc- Worldwide end-user spending on public cloud services is forecasted to grow 20.7% to total $591.8 billion in 2023, up from $490.3 billion in 2022, This is higher than the 18.8% cloud computing growth forecast for 2022.
The adoption of cloud technology is the key driver of many of the most transformative cloud computing trends, including artificial intelligence (AI) & machine learning (ML), multi-cloud, cloud security, low-code and no-code, everything-as-a-service (XaaS), industry cloud platforms and the blockchain adoption. As per some reports and market insights, it is anticipated that companies will embrace the top cloud services and other innovative technologies to drive efficiency in their processes and operations. Here are some of the glimpses that will have the most significant impact on IT in 2023. These cloud computing trends will reshape the future of IT and businesses.
AI and ML Powered Cloud
In cloud computing trends, Artificial Intelligence (AI) and Machine Learning (ML) are pervasive technology for businesses and users across the world. Both serve as cloud computing services as most of the businesses have the capabilities to build their own AI infrastructure. Calculating data and gathering intelligence and algorithms takes a huge amount of computing power and storage power, and it is generally more cost-effective to rent as-a-service.
“A report by the National Association of Software and Services Companies (NASSCOM) suggested that an integrated adoption of artificial intelligence (AI) and data utilization strategy can add $500 billion to India’s GDP by 2025.”
Through AI readiness, businesses are evaluating the implementation of AI and ML to scale quickly. The first strategy is to identify projects based on their complexity and business effects using the minimum viable product strategy. In 2023, It is also expected to witness continued innovation in this field as hyper-scale cloud service providers like Amazon, Google, and Microsoft continue to select their own AI-based tools & technologies to launch more multifaceted top cloud services for their customers.
2023 Will Be Dedicated To Multi-Cloud
“According to Gartner, by 2025, 35% of companies that use multiple public cloud providers will use a single network stack, an increase of more than 10x from 2021.”
We know that 2022 has been the year of best-of-breed solutions (hybrid cloud), and 2023 could be the year that businesses can get the several advantages of hosting their services across different cloud providers. The strategy of the multi-cloud approach offers the benefits such as agility, minimization of vendor lock-in, improved flexibility, and security. It doesn’t bind you in one situation that creates challenges when CSPs change their applications or services they support or stop supporting services. Multi-cloud approach reduces the chances of getting system errors from causing a critical failure of business operations.
Businesses can get more benefits such as availability, performance, data sovereignty, modular architecture, and unified monitoring of their IT systems. By adopting a multi-cloud infrastructure, Businesses can get free from damaging business strategies such as building applications and processes solely around one cloud platform e.g., Top cloud providers- AWS, Google Cloud, or Azure.
Increased Investment In Cloud Security And Resiliency
“Gartner also identifies the worldwide security and risk management spending forecast to grow 11.3% in 2023.”
Organizations are getting many opportunities and convenience with cloud technology to scale their business, but on the other end, they get a new range of cybersecurity threats. Storing and using the customers’ data can put them in a situation where data can be lost due to some breach or unethical activities. Some important information or documents can be found stolen or damaged due to cybersecurity threats. As a result, investing in cybersecurity services and building resilient infrastructure helps companies and organizations save from cybersecurity attacks.
Zero trust strategy and Vulnerability assessment and penetration Testing (VAPT) provide companies with a high-level cybersecurity assessment to identify the security threats in their cloud environments. By 2023, the greater use of AI and predictive technologies provided by top cloud providers will help spot threats before they cause any problems and increase security-as-as-service use.
Low-Code And No-Code Cloud Services
“According to Harvard Business Review, low-code/no-code platforms have evolved from just facilitating function-specific tools to making it possible for a broader range of business employees to truly own their automation and build new software applications with no coding while increasing organizational capacity.”
Low-code and no-code services provide the advanced tools to build websites, create web applications and design any kind of digital solution that organizations may ever need. These top cloud services are increasingly popular as we don’t need to write long program codes to launch the digital application in the market. Low-code and no-code are available for creating AI-powered applications, and it reduces the barriers to entry for organizations aiming to utilize AI and ML technologies.
You could read our Ebook on Low-code and No-code for more information.
The Rise Of Industry Cloud Platform
“Gartner expects enterprises to use industry cloud platforms to accelerate more than 50% of their critical business initiatives by 2027.”
Industry cloud platform is an emerging trend as it creates value for those companies that want to adapt and relevant industry solutions. These industry solutions are commonly based on public cloud services and help companies have more agile ways to manage data and workloads and accelerate change against the business, compliance, or other needs of the segment. Industry cloud platforms provided by top cloud providers enable enterprises to rapidly include industrial processes and leverage applications.
The richness of industry cloud ecosystems along with the multiple independent software vendors and system integrators joining the CSPs is a great way that industry cloud platforms add business value. Both holistic and modular approaches bring technical and business innovation together and faster from one industry to another.
XaaS (Everything As A Service)
“As per IMARC group, the global anything-as-a-service (XaaS) market size reached US$ 238.7 Billion in 2022. Looking forward, it also expects the market to reach US$ 674.5 Billion by 2028, exhibiting a cloud computing growth rate (CAGR) of 18.4% during 2023-2028.”
Everything-as-a-service or anything-as-a-service helps organizations use a wide range of services and applications online. It helps companies save costs by subscribing to top cloud services, and they can shift their expense from capital investment to operating expenditure. Cloud computing service increases the usage of XaaS, and its model can be scaled up and down quickly. Even during the pandemic, it helped businesses boost operational effectiveness and improve customer satisfaction. XaaS is one of the top cloud computing trends we can see in 2023.
You could read our Ebook on Everything as a Service (XaaS) for more information.
Blockchain is a game-changer technology in cloud computing trends that provides a tamper-proof digital ledger that can record business data without depending on a centralized authority. It is one of the biggest cloud computing trends, and businesses will continue to push the boundaries of blockchain in 2023. Industries from IT to financial services, government, and healthcare will accelerate the adoption of blockchain to their great advantage. Organizations can replace traditional paper-based systems by implementing distributed ledger technology (DLT) systems and get the advantages such as better trust and security via encryption, transparency, and other features.