Cloud Growth Spawns Worries, Mary Meeker Reports

Mitch Wagner
6/1/2017
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Spending on public and private cloud has very nearly caught up with traditional enterprise data center, according to the latest edition of the annual Internet Trends report released Wednesday by Mary Meeker, a general partner at Kleiner Perkins Caufield & Byers.

The report, weighing in at 335 pages of graphics and text, mainly covers the consumer Internet, including global trends, online advertising and commerce, the Internet in India and China, and games -- which Meeker sees as the dominant paradigm for how we'll interact with digital technology on everything.

But the report includes a few slides of interest to the enterprise cloud community, in a section of the report by KPCB partner Alex Kurland.

Public and private cloud spending combined is approaching traditional data center spend, up 37% since 2014, to $36 billion, according to the report.

As reported by numerous other studies, Amazon Web Services Inc. (AWS) has more than half the market by its lonesome, with Microsoft Azure, Google Cloud and IBM the other leaders, but trailing. (See AWS Public Cloud Dominance Continues – Report.)

AWS market share was flat year-over-year, but at 57% it has a healthy lead. Azure is growing fast, Google Cloud is growing at a respectable pace, and IBM is growing slowly. (See Microsoft Wants Azure to Blur the Enterprise Edge, Legacy Business Still Dragging IBM Down, How Google Is Challenging Amazon.)

Data security is less of a concern for enterprises than it was five years ago, but it's still their biggest concern. Uncertainty of cost and savings was a huge concern in 2012, less so today.

However, enterprises are more worried than they were in 2012 about compliance and governance, as well as vendor lock-in.

Cloud is changing the way enterprises deploy and consume enterprise software. Users expect products to be as well designed, easy to use and reliable as consumer apps.


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Enterprises are using more apps, which leads to more vulnerabilities, driven by spam and phishing, which is up 350% versus since the first quarter of 2015.

And threats are growing more severe, with more than 10 million identities exposed in 15 breaches in 2016 versus 11 in 2014.

— Mitch Wagner Follow me on Twitter Visit my LinkedIn profile Visit my blog Friend me on Facebook Editor, Enterprise Cloud News


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mhhfive
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mhhfive,
User Rank: Light Sabre
6/8/2017 | 10:42:58 AM
Re: Growing usage among intelligence operations...
I'm wondering when Apple and IBM will announce that their partnership has resulted in a ultra-secure high performance computing data center. Apple's cloud has been somewhat secretive in its operations, and it would be fascinating to find out that Apple has been secretly pushing the envelope of custom ARM processors in the data center.
kq4ym
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kq4ym,
User Rank: Light Sabre
6/8/2017 | 9:26:31 AM
Re: Growing usage among intelligence operations...
Yes, it's going to be interesting to watch how security issues surface. Although AWS is still the clloud leader the competitors are slowing inching up and one might wonder how they all promote security issues to capture more of the market.
mhhfive
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mhhfive,
User Rank: Light Sabre
6/3/2017 | 12:26:27 AM
Re: Growing usage among intelligence operations...
Whether out of ignorance or carelessness, the end result is still the same -- classified information was leaked. And there wasn't much protecting it.
JohnMason
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JohnMason,
User Rank: Light Sabre
6/3/2017 | 12:14:40 AM
Re: Growing usage among intelligence operations...
Maybe it was an intern who made the error of exposing classified documents, that is, someone new who made an error out of ignorance rather than carelessness.
mhhfive
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mhhfive,
User Rank: Light Sabre
6/1/2017 | 10:38:27 AM
Growing usage among intelligence operations...
Booz Allen Hamilton uses AWS.. and recently, it may have leaked some classified information from its public cloud usage. 

https://arstechnica.com/security/2017/05/defense-contractor-stored-intelligence-data-in-amazon-cloud-unprotected/

So everyone is contracting out to cloud services, and apparently doing so in a somewhat haphazard way..?
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