Multi-cloud computing offers benefits but makes IT far more complex

Demand for public cloud-related solutions is rising as organizations seek tools to manage and optimize complex, multi-cloud environments, according to ISG.

The report finds that many enterprises worldwide migrated some or all on-premises applications to multiple public clouds during the COVID-19 pandemic, either moving them as-is or transforming them into cloud-native architectures before migration.

Companies embrace cloud-native technologies

Companies are now growing more interested in cloud-native technologies for their modularity, agility, scalability and cost-effectiveness, which can help organizations meet fluctuating demand and shorter development timelines.

“Multi-cloud computing offers huge benefits but makes IT far more complex,” said Bernie Hoecker, partner, Enterprise Cloud Transformation leader, ISG. “Enterprises that have made the leap are adopting increasingly powerful tools to manage that complexity.”

With the help of multi-cloud service providers, companies are using new solutions to employ disruptive application development approaches, including serverless computing, composable architectures, DevSecOps and integration with container orchestration platforms such as Kubernetes, ISG says.

Cloud observability platforms are increasingly essential as multi-cloud complexity increases, the report says. The market for agent-based monitoring and security solutions is growing particularly fast as enterprises seek specialized and comprehensive endpoint scanning capabilities. Vendors are beginning to use AI and ML algorithms to identify blind spots, automatically fix problems and reduce false alerts.

FinOps solutions gain traction in enterprises

Demand is also rising for FinOps solutions, which have become a standard part of enterprises’ public cloud strategies, ISG says. Vendors are introducing a wide range of new solutions to improve the tracking of cloud usage, impose accountability, reduce waste and cut costs. The most successful FinOps implementations include establishing a central FinOps team that standardizes processes and delegates decision-making to project teams.

“Cloud cost management is a concern that goes all the way to the top at many enterprises,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “Companies are looking for independent software vendors that specialize in FinOps to better understand and optimize their use of cloud resources.”

Cloud-native, container-based architectures can also create major security vulnerabilities, including misconfigurations, so enterprises are integrating advanced security tools into their cloud environments. Many security platforms now use AI for automated, real-time access control and code validation, ISG says.