Companies are increasingly giving up on private cloud and are making greater use of services such as Amazon Web Services, Microsoft Azure and Google Compute. This also applies to hybrid cloud systems. Why do companies do this and when is a private cloud still suitable?
Yahoo which is now part of Oath has recently announced that it is contracting AWS as a cloud provider. That doesn’t sound like a major announcement but Oath’s step in this direction is important. Yahoo had big plans to set up its own private cloud. However less than a year later the company decided to choose for the public cloud.
Public cloud trends
The decision of Oath to move to the public cloud is a smart one. Other companies with private clouds have put the decision forward and wait until the market decides on cloud infrastructures. Oath is proactive and has taken a smart decision when it comes to private clouds. Ironically Oath owner Verizon once had great private cloud ambitions but they also saw the world moving to public cloud and gave up on those plans.
Pro-active companies will follow the trend and stop their private clouds and migrate to the major providers: Amazon, Microsoft, Google or Alibaba. If you have a private cloud (including hybrid) or use a private provider (so-called private cloud-as-a-service) you should do the same. And do not feel guilty about any wasted expenses because technology will always evolve and what seems like a good idea today may be a bad idea in a few years.
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Migrating to the public cloud
When migrating to the public cloud make sure you choose the provider that can deliver the performance, security and governance levels which will suit your company workload and structure.
The reality is that you have to run your applications in the most cost efficient and the best platforms that meet the requirements of the organization. If that is a private cloud, then you have to stay with that. But the chances are that this is not your best option. There are good reasons to use private clouds especially if you are dealing with strict compliance and security requirements. But remember that this does not create the value that many companies were hoping for when they made this step five years ago. Even the companies who keep stuck to their own servers now see the errors of their ways.
It is clear that private clouds struggle to hold onto a market compared to the expanding public clouds. In fact it is possible that your private cloud provider will go out of business and can no longer provide you with their service.
Public cloud is the right technology path for most organisations even if it is in small steps. A bonus is that companies migrating to public cloud release capital for example servers for other things. This advantage may well compensate the loss of any failed private cloud projects.
Looking to migrate to the public cloud? At Tech-Wales we proud ourselves in excellent cloud computing business services and we can migrate your current IT structure to the public cloud and let your business profit from the public cloud. Feel free to contact us for an initial consultation.