6 Predictions for Cloud Industry Trends in 2016

Nikole Haiar - January 05, 2016

2015-2016As 2015 winds down, the cloud computing market continues to look up. Even in tightly regulated industries, cloud adoption is experiencing a steep rise, with one study reporting that its adoption rate has increased 71 percent in the last 12 months. But where do we go from here? Tony Savoy, Hostway’s General Manager and Vice President of Managed Hosting and Cloud Services, offered six suggestions for what we’ll see in 2016:

Partnering with the Giants: Hosters and Managed Service Providers (MSPs) will forgo making major investments in building out their own public cloud offerings, instead looking to partner with “Frenemies” like Amazon AWS and Microsoft Azure. In the coming year, there will be an emergence of new offerings released using someone else’s cloud platform.

Containers in Store: Major shifts will be made in 2016 towards “containerized” services. While virtual machines will still have their place in the cloud market for a number of years, cloud-enabled containers will be introduced at an accelerated pace. Providers like Digital Ocean have built their entire business around containers; Azure will release support for them in their vNext releases. This trend will pick up steam.

No Stop to Dev/Ops: The culture shift of IT organizations to a DevOps-centric approach will move rapidly next year. As these organizations try to become more nimble like many cloud-first development shops, recognizing the great cloud technology at their disposal, they’ll seek more ways to scale and manage their workloads using these approaches. This shift will also impact automation as businesses find ways to remove human error – and on-call staff – from their equations. Modern companies are pushing for auto-remediation of various infrastructure issues, as well as looking to advanced application monitoring to trigger corrective measures when certain parameters violate pre-defined thresholds.

SaaS Will Last: Applications are increasingly moving to Software-as-a-Service models, even if they are open-source. 2016 will see growth in SaaS-like offerings – ala WPEngine – and customers will want to move to those platforms. The applications most likely to see significant upticks from this include WordPress, Drupal, Joomla, and Magento Community and Enterprise editions.

Stigma Subsiding: Enterprise IT organizations are moving more workloads to the cloud as the stigma of lax security and noisy neighbor concerns disappears. The maturity of cloud technologies is being recognized, defined by improved auto-scaling, auto-healing, networking, and software-defined security. As these customers seek the cloud leader as a destination for their workloads, they are left with two main choices: Azure or AWS.

Migration and Maintenance Support: Enterprise IT organizations willing to move to the cloud will need help in two areas. First, they will need help with migration and assessment for their transition. These companies often need to migrate legacy software systems that may not be well-suited for cloud; these situations may require some hand-holding. Secondly, once these customers have migrated to the cloud, they will require 24/7 proactive support via highly skilled and certified service delivery teams to keep their applications up and running.

The safest prediction for 2016, of course, is that cloud adoption in general will continue unabated. For businesses built around these technologies, it’s primarily about finding the best way to capitalize on the trend.

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