Big Data Is Fueling The Rise Of Cloud Managed Services
The Benefits And Risks Of This Expansion
Since most enterprises have migrated to the cloud, it’s essential to look at the major market drivers behind the adoption. There are many reasons why organizations are embracing cloud managed services. New opportunities with mobile security and BYOD are certainly playing a role behind the shift towards the cloud.
However, as a report by Transparency Market Research (TMR) points out, the rise of big data is encouraging enterprises of all sizes to adopt cloud managed services and cloud stockpiling services. In fact, the global market for cloud managed services is projected to grow at a 9.60% CAGR by 2022, at which point the market valuation will be over $86 billion.
Why is big data playing such an extraordinary role in the push to cloud managed services in the enterprise?
Better On The Cloud
Simply put, big data and cloud managed services go hand in hand. Cloud computing offers the ability to securely refine information to meet the needs of enterprises. Big data could not exist without the proliferation of cloud managed services in business.
In the past few years, the use of larger data sets has changed the entire business landscape. Over half of all companies have already embraced data analytics in some way. The influx of new technologies, specifically artificial intelligence (AI) and the Internet of Things (IoT), has paved the way for enterprises to access more data. According to Statista, 2 zettabytes of data were created by global organizations in 2010. That number jumped to 12 zettabytes in 2015. By 2020, 47 zettabytes of data will be created, and that number will catapult to 163 zettabytes by 2025.
Enterprises are harness larger data sets for numerous purposes, including gaining more insights into customers and purchasing patterns. There are some organizations that are successfully monetizing their big data. These larger data sets require storage capabilities beyond normal servers. Enterprises in industries with strict compliances must follow security and privacy guidelines that require authentication and encryption of the data. This is where cloud managed services come in.
Benefits Of Cloud Managed Services
There are a plethora of reasons why an enterprise with all of that big data should leverage cloud managed services. Productivity will certainly be enhanced with cloud managed services, thanks to the numerous virtual servers that can be quickly dedicated to large data sets. Cloud computing can also be viewed as a cost-saving solution, especially when compared to paying for in-house servers.
The cloud enables enterprises to streamline data access to users. At the same time, the access is only limited to specific users. This is due to the authentication and encryption capabilities of cloud managed services, which strengthens governance and privacy. With cloud managed services, businesses are able to easily transfer data, and that data can be access and analyzed in real time. All of these benefits allow organizations to be more agile while simplifying storage and improving productivity.
Risks Of Cloud Managed Services
Cloud computing might seem like the obvious pairing with larger data sets, but there are some initial complications. Despite the security benefits, it is still a challenge for some companies. It is common for digital transformation leaders to worry about security, privacy, and losing control of data when it is under cloud managed services.
When selecting a cloud managed service provider, an enterprise should consider having strong APIs and interfaces to thwart any potential cyber attacks. It is also wise to evaluate its architecture and other issues surrounding governance.
As long more enterprises are utilizing big data, the cloud managed services market will continue its upward trend. The increasing adoption rate of cloud managed services will occur in every regional market, with North America experiencing the most growth.