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Australian business a global cloud leader  

Business and Enterprise

Posted on April 20, 2017

4 min read

Jim Fagan, Telstra’s Director of Global Platforms, talks about how Australia is embracing hybrid cloud to move key business operations from a physical to online environment, maximising flexibility in the process.

Hybrid cloud in Australia is booming – more than two-thirds of companies in Australia are now implementing a hybrid cloud solution over a purely public or private play.

The latest Righscale State of the Cloud report has found that 92% of businesses they interviewed in Australia and New Zealand are using the cloud, with 68% preferring a hybrid cloud strategy compared to 58 percent of enterprises worldwide.

For these companies the most popular public cloud providers are Amazon Web Services (51%) and Microsoft Azure (42%), who each are more than popular than all other providers, including IBM, Google and Oracle, combined.  While when it comes to private cloud, VMWare is the leading provider.

So what exactly is hybrid cloud?

Cloud computing offers clear benefits as companies seek to gain the cost and efficiency gains that come from moving their data and workloads fully off-their own premises.  However, few companies are willing to pursue a fully public cloud strategy, often due to security and reliability concerns.  This is where hybrid cloud is an attractive middle ground, often offering the best of both worlds between public and private cloud.

Hybrid cloud is the combination of a public cloud provider (like AWS or Azure) with a private cloud platform that is designed only for use by a single business. These infrastructures operate individually and independently of each other but they communicate over an encrypted connection with technology that runs through both platforms to allow for the portability of data and applications.

Why are companies choosing hybrid cloud

RightScale’s State of the Cloud report explored business benefits of cloud usage and key challenges. Greater cloud experience continued to unlock increasingly greater levels of value for ANZ organisations. Respondents from the RightScale State of the Cloud report confirmed a growth in the benefit that their organisations get from cloud computing as their company matures.

Respondents also expressed scalability as the top benefit of cloud. Traditionally, scaling on IT infrastructure can be expensive, ineffective and add heightened pressure on accurate business forecasting. But with a hybrid cloud environment, there’s an opportunity for businesses to scale out to a cloud environment for specific workloads.

Overall, AWS and Azure were most frequently adopted public clouds in Australia and New Zealand.  While AWS is the market leader its margin over Azure is much smaller in this part of the world than the global average where AWS leads by 23 percentage points.

The challenges businesses face with hybrid cloud

While businesses are seeing clear benefits of hybrid cloud adoption, they still face challenges.

The most common challenges companies face when it comes to adopting cloud are maintaining compliance with business rules and regulations and governance, lacking the necessary resources to ensure a successful migration and security concerns.

Ensuring visibility, reporting and control of how a business is critical to overcoming these concerns, which is why Telstra Cloud Gateway, which is why we launched last year to provide a simple and secure way to connect to multiple cloud environments and meet a range of compliance requirements.,

Hybrid cloud is the future

Eighty five percent of Australian enterprises interviewed in this research are leveraging multiple clouds, and organisations using public cloud are running their applications in an average of 1.9 public clouds and experimenting with 1.6 more. In a world of digital disruption, the fact that Australian businesses are innovating at a faster rate than ever before and leading the world in hybrid cloud is a positive sign that businesses are taking up the challenge of digitising their operations and embracing serving their customers in a connected world.

Find out more at smarterbusiness.telstra.com.au/content/dam/insight/pdfs/rs-2017-soc-report-anz.pdf

Cloud isn’t just for businesses

You may not know it but you are probably using cloud technology every single day.

To put it simply, cloud computing is the delivery of storage, databases, networking, software, analytics and more over the Internet (“the cloud”).

If you are using social media like Facebook, LinkedIn, Twitter or Snapchat, your content from your social media profiles are stored in cloud storage systems. Similarly, some of the biggest cloud computing services are Web-based email, like Gmail or Hotmail. The benefits being you can access these services from any device at any time.

More recently, with the increase of mobile devices (smartphones, tablets, laptops etc.) Google Docs are fast becoming a popular example of consumer uses of cloud. These tools exist on the Internet to allow you to keep and edit your documents online. By doing so, the documents are accessible anywhere and anytime and you can share and collaborate on them.

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