Security "Bits"

Fast and Frenzied Cloud Adoption

By Jacob Serpa | June 7, 2017 at 6:00 AM

Screen Shot 2017-06-07 at 8.48.40 AM.pngEvery day, the cloud becomes more and more of a necessary tool for businesses. Enterprises continually migrate to the cloud for lower costs and greater flexibility. As more firms do so, making the transition becomes a necessity to keep up with competition. In light of the utility the cloud provides, one may wonder how many companies are actually making use of it. In its recent automated analysis of over 100,000 companies, Bitglass uncovered a host of information about cloud adoption in 2016. In particular, Bitglass surveyed companies to uncover how much they use G Suite, Office 365, and Slack. By using G Suite and Office 365 deployment as a proxy for cloud adoption, information was gleaned about the rate at which different industries utilize the cloud.

Across all surveyed verticals, some interesting trends were present. First, unsurprisingly, cloud adoption in every industry increased since 2015 - an indicator of the cloud’s growing usefulness, essentialness, and, consequently, proliferation. Next, it’s worth noting that, with the exception of two industries, cloud adoption within every vertical is now at least 50%. As such, on average across all verticals, 59% of enterprises used the cloud in 2016. Firms that don’t use the cloud are now the minority.

Obviously, some industries have greater rates of adoption than others. Education is the highest (about 97%), with nonprofits in second place (70%). These two sectors likely have reasons in common for adopting the cloud. For example, they can both receive discounted and free cloud suites. For technology, another industry with high cloud usage, it is likely a combination of cost, flexibility, and competitive pressure that leads to adoption.

While the cloud has many benefits, some industries adopt it more slowly than others - in particular, healthcare and finance. At under 50%, these industries have the lowest rates of cloud adoption and are the only two wherein the majority of firms do not make use of the cloud. While many such enterprises are making the transition, others remain hesitant primarily because of compliance concerns.

Irrespective of industry, cloud adoption is continuing to grow. The cost-saving, flexibility-granting, innovation-enabling powerhouse that is the cloud is here to stay. To get more details about industry-specific usage of the cloud, download the report below.

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