
Cloud Technology Trends Fueling Business Growth in Asia-Pacific
CIO Review APAC | Thursday, April 27, 2023

Businesses in the APAC are adopting cloud technologies to drive innovation, efficiency, and resilience. Hybrid multi-cloud approaches are being used to manage complexities and control costs.
FREMONT, CA: By 2026, digital products, services and experiences will contribute 40 per cent of the total revenue for the leading organisations, data, and systems in APAC that support them. The Covid-19 pandemic has made it evident that organisations should invest in permanent, scalable solutions that will withstand the test of time.
Business in the APAC region is prioritising digital transformation and data centre modernisation. In response to an exponential increase in the number of applications to manage and database sprawl, businesses are opting for hybrid multi-cloud IT operations as a more permanent and stable solution beyond the use of public cloud and databases during the pandemic.
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In the Asia-Pacific region, companies will be making significant IT investments to improve efficiency and reduce costs, as well as address challenges, such that talent shortages, cybersecurity risks, supply chain issues, inflation, and recession-related risks. However, companies have historically addressed these obstacles by combining different cloud technologies. The demand for cloud solutions in the region, which currently represents 14 per cent of global cloud spending, is expected to continue to rise.
Each organisation's path to the cloud in the future will be unique and flexible, dependent on its IT needs, resources, and strategic goals. There is no single, fixed path that all companies will follow.
The adoption of cloud technology typically occurs gradually and in different phases. Organisations usually need to use a combination of public and private cloud solutions as they test and deploy new solutions, expand their offerings, and eventually operate more efficiently on a larger scale.
In the coming years, digital strategies will be more closely aligned with business strategies. Consequently, cloud planning and preparation must consider various organisational priorities such as operational workloads, regulatory compliance, and distributed computing requirements.
APAC enterprise leaders are expected to turn to cloud-based solutions to drive growth in several key areas, including innovation, speed-to-market for new solutions, improving organisational efficiency and security, and increasing corporate resilience. Businesses consider cloud capabilities as a tool that can provide added value from generated data, develop new applications, and reduce wasteful spending on unused resources.
In 2023, almost 1,500 global IT decision-makers revealed an increase in the use of mixed infrastructure, including private on-premises or hosted IT infrastructure, public clouds, and edge locations. This trend is driving IT professionals to seek a unified platform to manage and secure applications and data. Organisations using IT infrastructure are expected to increase from 60 per cent in 2023 to 74 per cent shortly. About 95 per cent of respondents believe that having a unified platform to manage applications and data across their diverse environments would be beneficial.
As organisations are recovering from the impact of Covid-19, they are re-evaluating their IT requirements. During the pandemic, IT teams rapidly implemented solutions to support remote and hybrid workers, resulting in sprawling cloud usage and management challenges. To prepare for the future, organisations are seeking to establish a more cohesive and scalable operating model.
IT teams are looking for ways to build agile and resilient organisations while keeping costs under control. The technologies that worked during the pandemic may not be enough to handle the significant increase in the number of applications and databases that are essential for their operations.
To cope with the increasing complexity of managing multiple apps and databases across various environments, organisations are adopting a hybrid multi-cloud approach to better control the sprawl. This approach enables them to have a unified environment with the same policies, tooling, and visibility across all clouds. Leveraging automation is also essential for digital organisations to take control of their data and manage the associated security, governance, and operational concerns. Therefore, having a robust, cohesive, and scalable operating model is necessary for businesses to stay ahead of the explosion in apps and database sprawl.
Until 2026, large enterprises will experience a three-fold increase in their unstructured data capacity, either at the edge or in the public cloud. IT leaders need to be aware of their cloud implementation requirements, stay adaptable in the face of uncertainty, and be proactive in addressing the increase in app development and managing database sprawl.
The Asia-Pacific region is experiencing significant growth in cloud adoption, with businesses leveraging cloud technologies to drive innovation, improve efficiency and security, and boost corporate resilience. As cloud adoption increases, businesses are looking to hybrid multi-cloud approaches to better manage the growing complexities of the app and database sprawl, as well as to control costs and remain agile in the face of uncertainty.
Cloud technologies are seen as a force multiplier that drives added value for businesses, enabling them to streamline and enhance operations, derive more value from data, and develop new applications. IT leaders in the region will need to remain vigilant and agile as they navigate the explosive growth of data capacity and the need for unified, scalable environments across multiple clouds and environments.
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