The document summarizes the key findings from the 2018 State of the Cloud Report by RightScale. It shows that multi-cloud strategies are predominant, with 81% of enterprises wanting a multi-cloud approach. Public cloud adoption continues to grow rapidly, with Azure seeing faster growth than AWS. Security and managing cloud costs are the top challenges faced by organizations. While waste in the cloud is rampant, few organizations have automated policies to optimize costs. Use of containers and Docker is up significantly across all organizations.
2. • Michael Crandell
• CEO, RightScale
• Kim Weins
• VP Marketing, RightScale
Panelists
3. • Survey Methodology
• Cloud Adoption
• Central IT Role in Cloud Adoption
• Cloud Challenges
• DevOps: Containers and Configuration
• Comparing Cloud Providers
Agenda
4. • 66,783 people from the RightScale database were emailed
the survey
• 997 responses
• 525 (53%) are 1,000+ employees (Enterprises)
• 3.08% margin of error at 95% confidence
• Respondents are not just RightScale users
• 19% are RightScale users
Methodology
5. 53%
23%
24%
Respondents by Company Size
997 respondents
Company Size
1001+
employees
101-1000
employees
1-100
employees
Source: RightScale 2018 State of the Cloud Report
6. 27%
23%
20%
8%
6%
5%
4%
4%
3%
Respondents by Industry
997 respondents
Industry
Software
Tech Services
Financial Services
Other
Media & Publishing
Education
Business Services
Source: RightScale 2018 State of the Cloud Report
Telecom
Healthcare
8. 41%
10%
18%
31%
Role of Respondents
997 respondents
Role of Respondents
Dev
Business
IT/Ops
28%
28%
13%
12%
6%
5%
8%
Level of Respondents
997 respondents
Architect
Dir/MgrExec
IT/Ops
Dev/QA
Other
Source: RightScale 2018 State of the Cloud Report Source: RightScale 2018 State of the Cloud Report
Cloud Architect
DevOps
9. Cloud Maturity
8% 10% 19% 32% 31%
Cloud Maturity of Respondents
Watcher Beginner Intermediate AdvancedNo
Plans Planning First projects Apps running Heavy use
Source: RightScale 2018 State of the Cloud Report
11. 81% of Enterprises Want Multi-Cloud
No plans
5%
Single private
4%
Single public
9%
Multiple private
10%
Multiple public
21%
Hybrid cloud
51%
Enterprise Cloud Strategy
1000+ employees
Multi-Cloud
81%
Source: RightScale 2018 State of the Cloud Report
12. 96% of Respondents Are Using Cloud
96% of Respondents Are Using Cloud
Public Cloud
Only
Private Cloud
Only71% 4%21%
Hybrid
Source: RightScale 2018 State of the Cloud Report
Private = 75%Public = 92%
13. 39%
27%
23%
10%
50%
29%
9% 10%
45%
38%
8% 9%
Leverage hybrid
cloud
Use public cloud Build private
cloud
Use hosted
private cloud
Top Priority for Enterprise Central IT
2016
2017
2018
Enterprises Increase Focus on Public Cloud
Source: RightScale 2018 State of the Cloud Report
14. Public + Private
Clouds Used
Average Median
Running applications 3.1 3.0
Experimenting 1.7 1.0
Total 4.8 4.0
Respondents Average More than Four Clouds
Source: RightScale 2018 State of the Cloud Report
16. 33%
24%
13%
17%
13%
Monthly Public Cloud Spend
All respondents
Monthly Public Cloud Spend – All Respondents
Source: RightScale 2018 State of the Cloud Report
< $10K
$10K to $50K$50K to $100K
$100K to $500K
> $500K
18. 18%
17%
31%
16%
18%
Growth in Public Cloud Spend
All respondents
Public Cloud Spend Growth – All Respondents
Source: RightScale 2018 State of the Cloud Report
Up 100% or more
Up 50% to 100%
Up 20% to 50%
Up less than 20%
No change
or decrease
19. 7%
13%
21%18%
41%
Growth in Private Cloud Usage
All respondents
Private Cloud Growth– All Respondents
Source: RightScale 2018 State of the Cloud Report
Up 100% or more
Up 50% to 100%
Up 20% to 50%
Up less than 20%
No change
or decrease
23. Central IT Shifts to Governance/Broker Cloud
59%
54%
63%
65%
54%
58%
55%
63%
36%
45%
46%
56%
60%
60%
64%
69%
Build private cloud
Manage all cloud deployments
Select private clouds
Select public clouds
Broker cloud services
Set policies for cloud use
Manage/optimize costs of cloud
Decide/advise on which apps go to cloud
2018
2017
Enterprise Central IT View of Role
Source: RightScale 2018 State of the Cloud Report
28. 30%
5%
% of Cloud Spend Wasted
Cloud Users Underestimate Wasted Spend
Source: RightScale 2018 State of the Cloud Report
Self-Estimated
Wasted Spend
Additional
Wasted Spend Measured
by RightScale
29. 12%
13%
19%
19%
21%
28%
28%
31%
37%
44%
44%
45%
50%
51%
41%
49%
38%
34%
Use lowest cost regions
Use lowest cost cloud
Track underutilized discounts (RI/CUD)
Specify allowed instance types/sizes
Eliminate inactive storage
Specify expiration dates for workloads
Monitor utilization/rightsize instances
Require specific tags
Shut down workloads after hours
How Companies are Optimizing Cloud Cost
Automated policies
Manual policies
Few Organizations Have Automated Policies
Source: RightScale 2018 State of the Cloud Report
30. 32%
34%
34%
38%
39%
42%
44%
51%
58%
Enabling IT to broker multiple cloud services
Expanding public clouds we use
Implementing CI/CD in the cloud
Expanding use of containers
Implementing a cloud first strategy
Automated policies for governance
Better financial reporting
Moving more workloads to cloud
Optimizing existing cloud use (cost savings)
Cloud Initiatives in 2018
Optimizing Cloud Costs Is Top 2018 Initiative
Source: RightScale 2018 State of the Cloud Report
31. Place Beginner Intermediate Advanced
#1 Move more workloads to
cloud (49%)
Optimizing existing cloud
use/cost savings (65%)
Optimizing existing cloud
use/cost savings (69%)
#2 Optimizing existing cloud
use/cost savings (46%)
Move more workloads to
cloud (61%)
Implement automated
policies (53%)
#3 Implement a cloud first
strategy (39%)
Better financial reporting
(49%)
Better financial reporting
(52%)
#4 Better financial reporting
(38%)
Implement automated
policies (47%)
Move more workloads to
cloud (51%)
#5 Implement automated
policies (34%)
Implement a cloud first
strategy (45%)
Expand use of containers
(50%)
2018 Initiatives Depend on Cloud Maturity
Top 2018 Initiatives by Cloud Maturity
Source: RightScale 2018 State of the Cloud Report
42. 3%
8%
15%
34%
57%
2%
6%
8%
10%
18%
45%
64%
Alibaba Cloud
Oracle Cloud
VMware Cloud on AWS
IBM Cloud
Google Cloud
Azure
AWS
Public Cloud Adoption 2018 vs. 2017
% of Respondents Running Applications
2018
2017
Public Cloud Adoption YoY – All Respondents
Source: RightScale 2018 State of the Cloud Report
Not asked in 2017
Not asked in 2017
44. 5%
10%
15%
43%
59%
2%
10%
12%
15%
19%
58%
68%
Alibaba Cloud
Oracle Cloud
VMware Cloud on AWS
IBM Cloud
Google Cloud
Azure
AWS
Enterprise Public Cloud Adoption 2018 vs. 2017
% of Respondents Running Applications
2018
2017
Public Cloud Adoption YoY – Enterprise
Source: RightScale 2018 State of the Cloud Report
Not asked in 2017
Not asked in 2017
46. 2%
6%
15%
25%
55%
2%
2%
4%
4%
18%
32%
60%
Alibaba Cloud
Oracle Cloud
VMware Cloud on AWS
IBM Cloud
Google Cloud
Azure
AWS
SMB Public Cloud Adoption 2018 vs. 2017
% of Respondents Running Applications
2018
2017
Public Cloud Adoption YoY – SMB
Source: RightScale 2018 State of the Cloud Report
Not asked in 2017
Not asked in 2017
54. 8%
14%
15%
16%
20%
42%
13%
17%
22%
23%
24%
24%
50%
CloudStack
Microsoft Azure Stack
Bare-Metal Cloud
Microsoft System Center
VMware vCloud Director
OpenStack
VMware vSphere/vCenter
Private Cloud Adoption 2018 vs. 2017
% of Respondents Running Applications
2018
2017
Private Cloud Adoption YoY – All Respondents
Source: RightScale 2018 State of the Cloud Report
Not asked in 2017
58. Area AWS Azure Google IBM
% Adoption 68% 58% 19% 15%
YoY Growth in Adoption 15% 35% 26% 50%
% Adoption in Beginners 47% 49% 18% 14%
% with Footprint >50 VMs 58% 44% 17% 14%
YoY Growth in Footprint> 50 VMs 14% 38% 42% 56%
AWS Lead in Enterprise Shrinks
AWS vs. Azure vs. Google vs. IBM Enterprise Scorecard
Source: RightScale 2018 State of the Cloud Report
Other vendors lead AWS
AWS leads
59. • For an executive summary of key 2018 cloud trends plus in-
depth data, charts, and analysis, download the report at
www.rightscale.com/lp/state-of-the-cloud
RightScale 2018 State of the Cloud Report