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Research Shows Public Cloud Isn’t Dead

Article by Diogo Correa
August 27, 2018

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As the convenience of cloud operating model continues to grow in popularity amongst business leaders to need for private cloud hasn’t had the decline industry experts expected as they are finding out that businesses cannot run all data in the public cloud, so private cloud still emerges as a viable alternative. Showing that the ‘death of private cloud’ is still a long way away as a new Wikibon research shows the growing segment of True Private Clout (TPC) and it’s leaders.

Wikibon is the research arm of SiliconANGLE Media and theCUBE. In the reported outcome the Wikibon team stated that “Equally important is the nature of the relationship with the cloud supplier – namely a single point of purchase, support, maintenance, and upgrades (often referred to as a ‘single hand to shake, and a single throat to choke’),” the report stated. “The key benefit of the true private cloud is that they provide solutions close to the cost and agility characteristics of public cloud in an on-premises deployment when business, security and latency requirements dictate.” The report continued.

After analysing the Wikibon press release. We see that TPC better mimics the public cloud while offering customers opportunities to build a hybrid infrastructure that suits the business objectives, allowing for more control over the data. It is also to be noted that last year, revenue in their market segment grew by a whopping 50%, exceeding $20 Billion, the release said.

The top 5 indirect market for TPC solutions:

  1. VMware – 24%
  2. Nutanix – 14%
  3. HPE – 11%
  4. Microsoft – 9%
  5. IBM – 5%

For Direct seller, the top five vendors are:

  1. Dell EMC – 29%
  2. HPE – 13%
  3. Cisco/NetApp – 11%
  4. Nutanix – 7%
  5. Oracle – 5%

The report also stated that the demand for TPC will be driven by the internet of things (IoT), advanced analytics, social media and applications that use artificial intelligence (AI) to automate certain operations, the report said.

Wikibon stated that “Together, using these applications, about 4 Billion users generating nearly 3 exabytes of data per day,” and it continued, “An important portion of that data will move to public clouds, but the vast majority – we estimate more than 90% – will stay local or be discarded.”

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