Hosting and Cloud Study 2014: Hosting and Cloud Go Mainstream

Hosting and Cloud Study 2014Hosting and Cloud Go Mainstream

Survey Results

Overall Sample

2

USA35%

CANADA3%

BRAZIL7%

UK12%

GERMANY10%

South Africa5%

INDIA8%

RUSSIA5%

Singapore3%

AUSTRALIA6%

JAPAN5%

Screeners

4

S1. Which of the following statements is true of your role at work?(CHECK ALL THAT APPLY; MUST SELECT AT LEAST ONE OF 3-6, ELSE TERMINATE)

62%

61%

58%

47%

32%

30%

I have significant decision making authority

regarding IT

I am influential in IT decisions and strategy

I make IT purchasing recommendations

I manage relationships with 3rd party IT

providers

I build or maintain IT systems

I develop or maintain IT software

0% 10% 20% 30% 40% 50% 60% 70%

n=2041

S2. Rate your familiarity with the use of IT services at your company. This is where IT infrastructure, software or platforms are delivered and managed by providers in their own datacenters that you pay for on an hourly, monthly or annual basis. Use a 5-point scale where 1=not at all familiar and 5=very familiar. (TERMINATE ON FAMILIARITY=1 OR 2)

44%

38%

17%

0%

0%

Very Familiar

4

3

2

Not at all Familiar

0% 20% 40% 60%

n=2041

Small (<100

employees),

25%

Medium

(100-499

employees),

37%

Large (500-

4,999

employees),

26%

Very Large

(5,000+

employees),

12%

n=2041

28% 24% 24%11%

37%40% 33%

39%

20% 27%28% 47%

14% 9% 15%4%

North

America

(n=779)

Europe

(n=555)

Asia

(n=557)

South

America

(n=150)Very Large (5,000+ employees)

Large (500-4,999 employees)

Medium (100-499 employees)

Small (<100 employees)

15%13%

11%10%10%

9%9%

6%5%5%

4%3%

Manufacturing

Other services

Finance, Banking and Insurance

Prof/Scientific/Tech services

Trade

Information & Information Technology

Services

Resource industries

Health Care and Social Assistance

Educational Services

Other

Transportation and Warehousing

Government

0% 20%

96%

4%

n=188

Software

Other

n=2041

71%

69%

43%

37%

27%

14%

14%

17%

26%

17%

0% 20% 40% 60% 80% 100%

Software-as-a-Service

Hosted Infrastructure Services

Outsourcing Services

Platform-as-a-Service

Colocation Services

Today Add in 2 years

S7a. Which – if any – of the following IT services does your organization currently buy from service providers

today? MUST SELECT 2 OR 3, ELSE TERMINATE

S7c. Which –if any – of the following IT services does your organization plan to add from service providers

within two years?

n=2041

91%

91%

89%

85%

82%

9%

9%

11%

15%

18%

0% 20% 40% 60% 80% 100%

Outsourcing Services (n=886)

Hosted Infrastructure Services

(n=1414)

Software-as-a-Service (n=1444)

Platform-as-a-Service (n=754)

Colocation Services (n=545)

Will likely buy again in the next 2 years Will no longer buy

S7b. Which services are you likely to buy again within the next two years?

n=2041

0% 10% 20% 30% 40% 50% 60% 70% 80%

Software-as-a-Service

Hosted Infrastructure Services

Outsourcing Services

Platform-as-a-Service

Colocation Services

North America

(n=779)

Europe

(n=555)

Asia (n=557)

South America

(n=150)

S7a. Which – if any – of the following IT services does

your organization currently buy from service providers

today? MUST SELECT 2 OR 3, ELSE TERMINATE

Percent of Sample

0% 10% 20% 30% 40% 50% 60% 70% 80%

No Plans to Add/Does not apply

Platform-as-a-Service

Colocation Services

Outsourcing Services

Software-as-a-Service

Hosted Infrastructure Services

North America

(n=779)

Europe

(n=555)

Asia (n=557)

South America

(n=150)

[Skip S7c if all the services are selected in S7a]

S7c. Which –if any – of the following IT services does your organization plan to add from

service providers within two years? (show only those NOT selected in S7a)

Percent of Sample

0% 10% 20% 30% 40% 50% 60% 70% 80%

Software-as-a-Service

Hosted Infrastructure Services

Outsourcing Services

Platform-as-a-Service

Colocation Services

<100 Emps

(n=480)

100-499 Emps

(n=700)

500+ Emps

(n=704)

Govt/Education

(n=157)

S7a. Which – if any – of the following IT services does

your organization currently buy from service providers

today? MUST SELECT 2 OR 3, ELSE TERMINATE

Percent of Sample

0% 10% 20% 30% 40% 50% 60% 70% 80%

No Plans to Add/Does not apply

Platform-as-a-Service

Hosted Infrastructure Services

Colocation Services

Outsourcing Services

Software-as-a-Service

<100 Emps

(n=480)

100-499 Emps

(n=700)

500+ Emps

(n=704)

Govt/Education

(n=157)

[Skip S7c if all the services are selected in S7a]

S7c. Which –if any – of the following IT services does your organization plan to add from

service providers within two years? (show only those NOT selected in S7a)

Percent of Sample

41%

38%

10%

13%

19%

18%

18%

15%

7%

9%

5%

6%

0% 20% 40% 60% 80% 100%

Today

In 2 Years

In datacenters or sites your organization operates

Outsourcing Services

Hosted Infrastructure Services

SaaS

PaaS

Colocation

S8. Approximately what percent of your total IT budget in 2013 is allocated to IT resources that

are: [sum to 100%]

S9. And how to you expect the budget will be split in 2 years? [sum to 100%]

41%

43%

42%

40%

33%

10%

10%

9%

11%

16%

19%

18%

20%

20%

17%

18%

16%

17%

19%

20%

7%

7%

7%

6%

9%

5%

6%

5%

5%

5%

0% 20% 40% 60% 80% 100%

Overall (n=2041)

North America (n=779)

Europe (n=555)

Asia (n=557)

South America (n=150)

In datacenters or sites your organization operates Today

Outsourcing Services Today

Hosted Infrastructure Services Today

SaaS Today

PaaS Today

Colocation Today

Region:

S8. Approximately what percent of your total IT budget in 2013 is allocated to

IT resources that are: [sum to 100%]

41%

44%

40%

38%

45%

10%

7%

11%

12%

10%

19%

23%

18%

17%

20%

18%

18%

18%

17%

15%

7%

5%

8%

8%

5%

5%

3%

5%

7%

5%

0% 20% 40% 60% 80% 100%

Overall (n=2041)

<100 Emps (n=480)

100-499 Emps (n=700)

500+ Emps (n=704)

Govt/Education (n=157)

In datacenters or sites your organization operates Today

Outsourcing Services Today

Hosted Infrastructure Services Today

SaaS Today

PaaS Today

Colocation Today

Company Size:

S8. Approximately what percent of your total IT budget in 2013 is allocated to

IT resources that are: [sum to 100%]

Hosted Infrastructure Services

18

70%

64%

64%

56%

54%

45%

41%

35%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Website Hosting

Storage

Backup/Restore Services

Dedicated servers

Database Hosting

Disaster Recovery/Business Continuity Services

Virtual machines on shared/multi-tenant servers

Virtual Desktop Hosting/Hosted VDI

Q1. Which of the following HOSTED INFRASTRUCTURE SERVICES does your

organization procure? (CHECK ALL THAT APPLY)

Percent of Sample

48%42%

28%32%

24% 25%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Today 2 Years

Public Cloud

Hosted Private Cloud

Traditional Dedicated

Q3. How long has your organization been using Hosted Infrastructure Services?

3% 6% 2% 3% 3%

19%23%

16% 19% 15%

45%

45%

46% 43%46%

24%18%

26% 26% 26%

9% 8% 9% 9% 11%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Overall

(n=1414)

<100 Emps

(n=310)

100-499 Emps

(n=499)

500+ Emps

(n=491)

Govt/Education

(n=114)

25+ years

10 to 24.9 years

5 to 9.9 years

2 to 4.9 years

1 to 1.9 years

Less than 1

year

Company Size

On Premises Infrastructure

22

43%

37%

31%

35%

26%

28%

0% 20% 40% 60% 80% 100%

Today

In 2 Years

Standalone non-virtualized infrastructure Today

Virtualized infrastructure Today

Automated & Orchestrated PRIVATE CLOUD Today

Q6. Has your organization configured any of the

following clouds for interoperability.

Check all that apply

60.8%

42.1%

39.6%

0% 20% 40% 60% 80%

On premise PRIVATE cloud

with a HOSTED private cloud

On premise PRIVATE cloud

with a PUBLIC cloud

HOSTED private cloud with a

PUBLIC cloud

Hybrid Users (n=989)

Yes

49%

No

51%

Deployment of Hosted/Cloud

Applications

25

Q8. We are interested in how your organization decides which applications are a good fit for [1234]. The

following is a list of application characteristics. Using a scale where 0=Poor Suitability to 10=Very Good

Suitability, please rate the suitability of applications for if it:

Mean Average Rating

5.0 5.5 6.0 6.5 7.0 7.5 8.0

Requires a secure network connection

Is an existing, well tested application in steady state

Easily scale large numbers of users

Has low organizational risk in event of loss or outage

Requires low Total Cost of Ownership

Requires low upfront costs

Requires multiple levels of Identity and Access Management

Requires Adherence to Data sovereignty laws in countries or…

Accessed by significant numbers of mobile device users

Needs to connect to other data with APIs or web services

Has dependencies with on-premise applications

Requires low network latency due to heavy IO or frequent data…

Requires tuning or customization

Requires Multi-site redundancy

Has unpredictable or seasonal user demand

Is a new, untested workload

1. TRADITIONAL

DEDICATED

INFRASTRUCTURE with

a hoster (n=562)

2. HOSTED PRIVATE

CLOUD

INFRASTRUCTURE

(n=324)

3. PUBLIC CLOUD

INFRASTRUCTURE

(n=336)

4. SAAS (n=591)

Q9. Who are the primary users of the applications in your [1234] environments: (select one answer)

49%61%

48%35%

45%

20%

13%

23%

25%

22%

17%15%

13%22%

18%

13% 10% 15% 17% 14%0% 1% 0% 0% 0%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Other

Business Partners

Consumers

Businesses

Employees

Q11. When selecting a [1234] provider, how important is it that the management and automation

tools they use are the same as your existing IT management tools? Use a scale from 0 to 10 where

0=Not at all Important and 10= Extremely Important.

5% 7% 2% 6% 4%

48% 45%48%

49% 50%

47% 48% 50% 45% 46%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Very Important (8-10)

Somewhat Important (4-7)

Not Important (0-3)

7.2 7.1 7.5 7.0 7.2

Q10. Are the management and automation tools for your [1234] primarily: [randomize]

49%57%

49%44% 44%

43%32% 44% 52% 48%

8% 10% 6% 4% 8%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Don't Know

Open Source

Commercial 3rd

party

14.0%

60.9%

25.1%

No

Yes, if we could

Yes, we already do

n=1811

Q13. Is your [1234] solution subject to internal IT audit with your IT security team?

77% 76% 78% 80% 75%62%

78%85% 83%

23% 24% 22% 20% 25%38%

22%15% 17%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

No

Yes

26.0%

54.5%

19.6%

No

Yes, if we could

Yes, we already do

n=1811

Q15. Over the last 12 months, which of the following types of issues have initiated contact with the customer

support center at your [1234] provider?

Percent of Sample

0% 10% 20% 30% 40% 50% 60% 70%

Performance issue

Upgrade issue

Security issues

Installation/deployment issue

Migration issue

Outage

Contract issue

Other

Overall (n=1590)

1. TRADITIONAL w/hoster

(n=506)

2. HOSTED PRIVATE (n=290)

3. PUBLIC CLOUD (n=303)

4. SAAS (n=491)

Q16. Which do you consider as valuable forms of communication with the [1234] provider for support

issues? (all that apply) [randomize]

Percent of Sample

0% 20% 40% 60% 80% 100%

Telephone conversation/Customer

support specialist

Email

Online chat

Automated help/online repair tool

Community forum shared with other

customers

Overall (n=1814)

TRADITIONAL w/hoster (n=563)

HOSTED PRIVATE (n=323)

PUBLIC CLOUD (n=336)

SAAS (n=591)

Q16. Which do you consider as valuable forms of communication with the [1234] provider for support

issues? (all that apply)

Percent of Sample

0% 10% 20% 30% 40% 50% 60% 70% 80%

Telephone conversation/Customer support

specialist

Email

Online chat

Automated help/online repair tool

Community forum shared with other customers

Overall

(n=1814)

North America

(n=719)

Europe (n=491)

Asia (n=477)

South America

(n=127)

17% 17% 15% 18% 17%

63% 65% 63% 55%66%

20% 18% 22% 27%17%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Very Difficult (8-10)

Somewhat Difficult (4-7)

Not Difficult (0-3)

5.6 5.6 5.6 5.7 5.6

Hosted/Cloud Applications

37

17% 18% 16% 14% 18%

8% 8%9% 8%

9%

14% 14%14%

12%14%

12% 12%12%

12%

11%

6% 5%6%

7%

6%7% 6% 7%

7%7%

6% 5% 6%7%

6%

10% 11% 11%11%

10%

10% 11% 9%10%

8%

4% 3% 4% 6% 5%

6% 4% 6% 7% 6%0% 0% 0% 0% 0%

Other

Virtual Desktop Hosting/VDI

Media Streaming

Web serving/Web site

Storage/File Serving

Unified Communications

Application development

Collaborative applications

Email

Database

Decision support applications

Business applications

Q20. Which of the following best describes the type of service provider that you

are using for your applications (select one)

Percent of Sample

0% 5% 10% 15% 20% 25% 30% 35% 40%

Global Hosting Provider

Local or Regional Hosting Provider

ISV or Software company

Telecommunications Provider

Systems Integrator with significant hardware

assets

Datacenter Operator

Value-added Reseller (VAR)

Systems Integrator or 'Asset-light' consultant

Other

Overall (n=1865)

Database (n=345)

Email (n=341)

Collaborative apps (n=347)

Unified Communications

(n=346)

Storage/File Serving (n=347)

All others (n=139)

Q22. Are there other applications that you prefer to buy with your YYY application as a bundled

package?

74% 80% 77%66%

72%

26% 20% 23%34%

28%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Yes

No

51%

41%

40%

37%

35%

30%

29%

22%

21%

20%

19%

1%

0% 10% 20% 30% 40% 50% 60%

Business applications

Unified Communications

Application development

Virtual Desktop Hosting/ VDI

Other

Web serving/Web site

Collaborative applications

Storage/File Serving

Decision support applications

Database

Media Streaming

Email

Q22. Which (other applications do you prefer to buy with your YYY application as a bundled

package)? (CHECK ALL THAT APPLY)

Percent of Sample

Q23. Thinking about your [1234] Email, does your organization buy:

39% 40%

22%

37%47%

35% 31%

43%

39%

33%

26% 29%35%

24% 20%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Advanced email services:

full-featured archiving,

rights management

Intermediate email

services: integrated

document management

Basic email services:

email, calendar, address

book

Cloud Maturity

43

Q24. Which of the following best describes your organizations adoption of cloud computing models?

1% 1% 1% 1% 1%

27% 29% 27% 26%17%

27% 24% 29% 27%38%

29% 28% 27% 29%38%

16% 17% 16% 17%7%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Broad implementation of

production apps

Initial implementation of

production apps

Running trials/Pilot Projects

Discovery and Evaluation

None

Q25. Which of the following best describes your organizations approach to using cloud computing for

NEW applications or IT projects?

18% 17% 20% 18% 15%

58% 59% 56% 61%57%

18% 18% 19% 17%23%

6% 7% 5% 4% 4%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Cloud is our default platform for new

applications

We heavily rely on cloud computing for

new projects

We selectively target new applications

for cloud computing

We are reluctant to use cloud

computing

Q26. Which of the following does your organization have in place as it relates to cloud computing? [all that

apply]

Percent of Sample

35.9%

32.4%

32.1%

29.1%

23.9%

12.1%

12.4%

A goal for the number of applications or resources that will be part

of cloud

A formal cloud computing strategy plan

A preferred vendor list

A vendor assessment checklist

A standard architecture for hosted solutions

TCO models that compare cloud to on-premises costs

None of the above

n=2041

< 10%

5%

10-19%

14%

20-39%

34%

40-59%

24%

60-79%

15%

80%+

8%

n=2040

Q28. Please rate the following in terms of what you believe is a good best practice for driving a successful

cloud computing project. Use a scale where 0=Not a good Practice to 10=Essential Best Practice

[randomize]

Mean Average Rating

7.7

7.6

7.5

7.5

7.4

7.4

7.3

7.3

7.2

7.2

7.2

7.0

6.9

6.0 6.5 7.0 7.5 8.0

Have a well-defined architecture for security

Understand who the end-users are

Train users to be cautious with access and security

Have a well-defined architecture for performance

Have a phased approach starting with pilot testing

Compare costs to on-premise models

Start with projects that are non-disruptive to end-users

Selectively target applications that are 'fit' to move

Evaluate implications for software licensing

Test application performance with multiple providers

Have an 'undo' plan to make it easy to move off the provider

Have an enthusiastic executive sponsor from the business

Start with 'new' applications or IT project

Have a well-defined architecture for security

Understand who the end-users are

Train users to be cautious with access and security

Have a well-defined architecture for performance

Start with projects that are non-disruptive to end-users

Have a well-

defined

architecture for

security

Understand who

the end-users are

Train users to be

cautious with

access and security

Have a well-

defined

architecture for

performance

Start with projects

that are non-

disruptive to end-

users

Have a well-

defined

architecture for

security

Understand who

the end-users are

Have a well-

defined

architecture for

performance

Have a phased

approach starting

with pilot testing

Train users to be

cautious with

access and security

Have a well-

defined

architecture for

security

Understand who

the end-users are

Train users to be

cautious with

access and security

Have a well-

defined

architecture for

performance

Selectively target

applications that

are 'fit' to move

Have a well-

defined

architecture for

security

Test application

performance with

multiple providers

Start with projects

that are non-

disruptive to end-

users

Have a well-

defined

architecture for

performance

Train users to be

cautious with

access and security

North America Europe Asia South America

Have a well-defined architecture for security

Understand who the end-users are

Train users to be cautious with access and security

Have a well-defined architecture for performance

Start with projects that are non-disruptive to end-users

Have a well-

defined

architecture for

security

Understand who

the end-users are

Train users to be

cautious with

access and security

Have a well-

defined

architecture for

performance

Have an 'undo'

plan to make it

easy to move off

the provider

Have a well-

defined

architecture for

security

Understand who

the end-users are

Train users to be

cautious with

access and security

Have a well-

defined

architecture for

performance

Compare costs to

on-premise models

Have a well-

defined

architecture for

security

Understand who

the end-users are

Have a well-

defined

architecture for

performance

Have a phased

approach starting

with pilot testing

Train users to be

cautious with

access and security

Have a well-

defined

architecture for

security

Understand who

the end-users are

Train users to be

cautious with

access and security

Have a well-

defined

architecture for

performance

Have a phased

approach starting

with pilot testing

1-99 Employees 100-499 Employees

500+ Employees

Govt/Education

Q29. What is your organizations highest expectation for moving to cloud? [choose one] [randomize]

23% 21% 24% 26%17%

22% 25% 19%21%

19%

19% 18%18%

18%31%

14% 15%14%

12% 14%

12% 11%12% 12%

13%10% 10% 12% 10% 6%1% 1% 1% 0% 0%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Other

Fast

Inexpensive

Scale to demand

Better Availability

Help grow our business

Better business service

E1. Does your organization have “shadow IT”, meaning business units are spending their own budget

on cloud computing projects outside of the IT approval processes?

21%13%

22% 27%

13%

23%

20%

21%

26%

23%

47%55%

47%39%

49%

10% 12% 9% 8%15%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Not Sure

No

Yes, but it's typically just

a skunk works operation

Yes, it's a significant

amount of spending

E7. Are you familiar with the NSAs surveillance program called PRISM which gives the US

government access to metadata and content from public cloud providers such as Google, Microsoft,

Facebook and Yahoo?

53%63%

51%45%

34%

48% 52% 56%50%

47%37%

49%55%

66%

52% 48% 44%50%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

No

Yes

5.3

5.2

4.7

5.8

6.3

4.5

5.3

5.6

5.3

0.0 2.0 4.0 6.0 8.0

Overall (n=982)

North America (n=449)

Europe (n=266)

Asia (n=221)

South America (n=46)

1-99 Emps (n=217)

100-499 Emps (n=330)

500+ Emps (n=368)

Govt/Education (n=67)

Average Rating

39%

30%

31%

n=2041

Positive (6 thru 10)

5=No Impact

Negative (0 thru 4)

Provider Satisfaction, Importance &

Advocacy

55

7.2

7.5

6.8

7.0

7.4

6.0 6.5 7.0 7.5 8.0

Overall (n=2041)

North America

(n=779)

Europe (n=555)

Asia (n=557)

South America

(n=150)

Average Rating

7%

10%

27%

28%

22%

6%

n=2041

Extremely satisfied (rated 10)

Rated 9

Rated 8

Rated 7

Somewhat satisfied (5 thru 6)

Not satisfied (1 thru 4)

7.4

7.8

7.0

7.4

7.6

6.5 7.0 7.5 8.0

Overall (n=2041)

North America

(n=779)

Europe (n=555)

Asia (n=557)

South America

(n=150)

Average Rating

14%

14%

25%20%

21%

6%

n=2041

Extremely important (rated 10)

Rated 9

Rated 8

Rated 7

Somewhat important (5 thru 6)

Not important (0 thru 4)

E6. Would you recommend Cloud Computing to a peer or colleague?

87% 89%83% 87%

93%

80%87% 91% 90%

13% 11%17%

13%7%

20%13% 9% 10%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

No

Yes

E6b. Would you recommend Cloud Computing to a peer or colleague--If yes, why?

E6b. Would you recommend Cloud Computing to a peer or colleague--If no, why not?

Percent of Sample

0% 5% 10% 15% 20% 25% 30%

Good experience/better service/it works

Improves Costs/Cost effective/Cheaper

Other

Easier / more convenient

Accesss/availability

Faster/Agility

It's the Future / Trend

Helps grow the business

Security/more secure/less risk

Increase prodcutivity/efficiency

Reliable

Flexibility/scalability

Saves Time

Good for backup

None/Don't know/Refused

Percent of Sample0% 5% 10% 15% 20% 25% 30%

Security issues/concerns

Other

Uncertainty/it's too new

Bad experience/it's not good

Costs too much

Unnecessary

Too complicated

None/Don't know/Refused

0% 5% 10% 15% 20% 25% 30%

Good experience/better service/it works

Improves Costs/Cost effective/Cheaper

Easier / more convenient

Accesss/availability

Faster/Agility

Overall (n=1778)

1-99 Emps (n=385)

100-499 Emps (n=610)

500+ Emps (n=642)

Govt/Education (n=141)

E6b. Would you recommend Cloud Computing to a peer or colleague--If yes, why?

Percent of Sample

Organizational Demographics

61

30

37

29

27

21

21

20

21

21

25

21

20

20

20

26

14

12

15

15

12

15

12

15

16

16

0% 20% 40% 60% 80% 100%

Overall (n=2041)

1-99 Emps (n=480)

100-499 Emps (n=700)

500+ Emps (n=704)

Govt/Education (n=157)

Increase revenue Lower costs

Improve product or service quality Speed time to market

Lower risk

Company Size:

D1. Allocate 100 points among the following five goals as they relate to your

company or organization? [sum to 100] [randomize]

9.0%

7.5%

7.3%

7.3%

6.8%

4.8%

4.5%

4.4%

4.2%

4.0%

3.5%

1.9%

1.6%

1.5%

.9%

.8%

.8%

.7%

.3%

9.8%

18.3%

0% 5% 10% 15% 20%

Decreasing costs/issue with rising costs/ cost control

Increasing profit/revenue/sales

Security Concerns/issues

Competition

General growth/ expansion

Budget constratints/funding/financial issues

Increasing customer base/ market share

Poor/Slow economy/ Market instability

Product/Service quality or improvement

Internal resources / talent/ turnover

Adapting to change/keeping up with technology

Expanding into new markets

Cloud computing

Regulatory Compliance/Issues

Customer Satisfaction/Keeping current customers happy/ meeting…

Lower risk/ Risk management

Storage issues/Data sprawl

Marketing

Time to market

None/Don't know/Refused

Other

D2. What is the single biggest challenge that your organization faces in the next 2 years?

Percent of Sample

0% 5% 10% 15% 20%

Decreasing costs/issue with rising costs/

cost control

Increasing profit/revenue/sales

Security Concerns/issues

Competition

General growth/ expansion

Budget constratints/funding/financial issues

Increasing customer base/ market share

Overall (n=2041)

1-99 Emps (n=480)

100-499 Emps (n=700)

500+ Emps (n=704)

Govt/Education (n=157)

D2. What is the single biggest challenge that your organization faces in the next 2 years?

Percent of Sample

Q25. Which of the following best describes your organizations approach to using cloud computing for

NEW applications or IT projects?

18% 17% 20% 18% 15%

58% 59% 56% 61%57%

18% 18% 19% 17%23%

6% 7% 5% 4% 4%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Cloud is our default platform for new

applications

We heavily rely on cloud computing for

new projects

We selectively target new applications

for cloud computing

We are reluctant to use cloud

computing

20%

51%

25%

4%

n=2041

We are early adopters on the leading edge

We are pragmatic about new technology, but will act

sooner rather than later

We are conservative about new technology and take

a wait and see approach

We are skeptical and are usually late to the game

21%14%

24% 23%

52%58%

44% 47%

24% 25%28% 26%

4% 3% 5% 4%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

We are skeptical and are

usually late to the game

We are conservative

about new technology

and take a wait and see

approach

We are pragmatic about

new technology, but will

act sooner rather than

later

We are early adopters on

the leading edge

1%

6%

18%

22%27%

26%

n=2041

< 1 year 1-1.9 years

2-4.9 years 5-9.9 years

10-24.9 years 25+years

9%

68%

18%

5%

n=2041

Application Development

IT Operations/Administration

Business Unit

Other, (specify)

G4. What is your title?

Percent of Sample

3%

5%

34%

4%

3%

2%

7%

3%

1%

1%

2%

5%

0%

6%

1%

9%

10%

0% 10% 20% 30% 40%

CTO

IT Vice President

IT Director/Manager

Software Architect/Engineer/Analyst

Software Developer

Systems Architect/Engineer/Analyst

Systems Administrator

Network Administrator

Network Architect/Engineer/Analyst

Security Analyst/Engineer

Business Analyst

Project Manager

DBA

Senior Management (CEO, CFO, etc)

Vice President

Director/Manager

Other

G5. What was your total IT budget for 2013? This includes all capex and opex spend on staffing, hardware,

software and IT services and providers?

Percent of Sample

29%

20%

10%

14%

6%

4%

2%

1%

1%

0%

0%

1%

12%

0% 10% 20% 30% 40%

<$100,000

$100,000 to less than $499,999

$500,000 to less than $1 million

$1 million to less than $5 million

$5 million to less than $10 million

$10 million to less than $25 million

$25 million to less than $50 million

$50 million to less than $100 million

$100 million to less than $250 million

$250 million to less than $500 million

$500 million to less than $1 billion

$1 billion+

Don't Know

G5B. By what percent will your total IT budget increase/decrease in 2 years?

59% 60%49%

62%79%

31% 32%38%

27%

14%

10% 8% 14% 10% 7%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Decrease

Stay the same

Increase

10% 11% 6% 12% 17%Average % Change

35%

40%

25%

Growth - Development of New Applications for new

Businesses Models

Maintenance - Development for Existing

Applications/Businesses Models

Trim - IT Efficiency Projects

% IT Spend for

“Growth”

Average % of Apps in

Cloud in Two Years

(Q27)

>60% 45%

15-60% 39%

<15% 34%

17%

13%

11%

10%

11%

10%

7%

5%

7%

10%

0% 5% 10% 15% 20% 25% 30%

Under $2Million

$2Million to less than $10Million

$10Million to less than $25Million

$25Million to less than $50Million

$50Million to less than $100Million

$100Million to less than $250Million

$250Million to less than $500Million

$500Million to less than $1Billion

Over $1Billion

Don't Know

G7. Which of the following categories best describes your organization's total annual revenue [convert to

local currency]

Percent of Sample

8%

10%

12%

11%

9%

10%

9%

8%

4%

2%

3%

12%

0% 5% 10% 15% 20%

<$100/month

$100-499/month

$500-999/month

$1000-1999/month

$2000-2499/month

$2500-4999/month

$5000-9999/month

$10,000-24,999/month

$25000-49,999/month

$50,000-99,999/month

$100,000+ /month

Don't Know

G8. Approximately how much does your organization spend with your hosting (or service) providers on a

monthly basis? [convert to local currency]

Percent of Sample