HCLTech, a global leader in technology, has released its latest report, ‘Cloud Evolution: Mandate to Modernize,’ providing an in-depth analysis of how businesses are reshaping their cloud strategies to drive innovation and transformation. The report outlines the critical role of cloud technologies, generative AI (GenAI), and cloud-native practices in modernizing enterprises.
“Cloud is no longer just a technology investment; it’s central to how businesses evolve,” said Siki Giunta, Executive Vice President and Head of Cloud Native Center of Excellence at HCLTech. “The convergence of cloud, GenAI, and cloud-native practices empowers enterprises to make quicker decisions, enhance customer experiences, and gain a competitive edge. By adopting cloud-native architectures and platform engineering, companies can future-proof their IT infrastructures, ensuring scalability, agility, and resilience.”
Key Findings from the Report
Hybrid and Multicloud Strategies Dominate
- Enterprises are 2.2x more likely to have a dedicated multicloud strategy now compared to three years ago.
- 87% of organizations use more than one cloud provider, typically relying on three for their multicloud strategies. This shows the growing importance of flexibility and redundancy in cloud infrastructures.
- 85% of enterprises plan to expand partnerships with additional cloud providers within the next year. Despite increased public cloud adoption, 81% of companies still maintain significant on-premises infrastructure for data security and regulatory reasons, emphasizing the need for hybrid cloud strategies.
Application Modernization: A Priority for Cloud Success
- 80% of enterprises agree that the true value of public cloud is only realized when applications are modernized during migration, rather than merely being “lifted and shifted.”
- 73% of organizations are actively refactoring applications during cloud migration, indicating a shift toward cloud-native modernization.
- 78% believe cloud-native practices improve overall performance and efficiency.
Generative AI (GenAI) Driving Cloud Adoption
- 98% of enterprises are exploring custom GenAI solutions on the cloud, utilizing cloud-native practices to modernize applications.
- 55% of organizations noted that data for GenAI solutions often resides on-premises, prompting them to run some GenAI solutions in-house before scaling them to the cloud.
The Value of Third-Party Consulting
- 83% of enterprises that partner with third-party consultants report significant improvements in IT efficiency and application performance, showcasing the importance of expert guidance for cloud strategy success.
Expert Insights
Rampal Singh, Vice President and Global Business Head of Hybrid Cloud at HCLTech, stressed the importance of seamless IT operations across cloud environments. “Enterprises that invest in open solutions can mitigate the complexities of multicloud setups. The findings of our study emphasize that cloud must be seen as the foundational platform for deploying AI-driven solutions that will shape the future of industries.”
HCLTech’s CloudSMART strategy is designed to help enterprises unlock tangible business outcomes from cloud investments. With its deep engineering expertise and partnerships with leading cloud providers, HCLTech helps businesses adopt modern cloud practices and ensure continuous modernization.
HCLTech’s AI & Cloud Native Labs offer a hands-on, consultative approach to help businesses modernize through cloud transformation. These labs leverage cutting-edge software engineering techniques to future-proof enterprises, all in a fully equipped lab environment.
Research Methodology
The report is based on a survey conducted by ESG, a global analyst firm, on behalf of HCLTech. It includes insights from 500 senior business and technology leaders across multiple industries and regions, offering a comprehensive view of how enterprises are leveraging cloud technologies to drive innovation and efficiency.
