Survey: Cloud Computing Takes a Backseat to On-Site Virtualization

Nine-out-of-ten midsize companies prefer to keep their critical applications and data local; Cost and complexity remain key concerns for both cloud and on-site virtualization

Results of a market survey conducted by ApplicationContinuity.org and sponsored by Scale Computing. The report showcases why midmarket organizations are embracing on-premise virtualization over the cloud, the driving factors behind this decision, and what alternatives companies are choosing for their mission-critical applications and data. (Graphic: Business Wire)

INDIANAPOLIS--()--Scale Computing, industry leading developers of hyperconverged solutions that seamlessly combine servers, storage and virtualization into a single system, today released results of a market survey conducted by ApplicationContinuity.org. The report showcases why midmarket organizations are embracing on-premise virtualization over the cloud, the driving factors behind this decision, and what alternatives companies are choosing for their mission-critical applications and data.

More than 3,000 IT professionals in the US participated in the recent survey, which investigates the prevalence of choosing local infrastructure or the cloud, the types of applications IT teams are choosing to run on local infrastructures, and key concerns among IT professionals as to how and where data is managed. Despite widespread cloud-marketing by vendors, this study showed that 90 percent of participants responded that it was ‘important or very important’ to keep applications and data within their company-owned infrastructure rather than entrusting it to a cloud provider. Additionally, the applications deemed as ‘core’ to running their businesses are the least likely to be considered for cloud migration. A staggering 90 percent of survey respondents feel the need to keep their mission-critical applications and data running on local infrastructure.

“This survey highlights why HC3 has already become the virtualization choice for hundreds of midsize companies within its first few months on the market,” said Jeff Ready, CEO of Scale Computing. “We’re delivering an infrastructure that’s one-fifth the cost of a VMware-based offering while simultaneously stripping all of the complexity out of virtualization itself. HC3 delivers the benefits promised by the cloud but in a fully secure, on-premise solution. The HC3 platform delivers what small and midsize IT organizations demand: in-house infrastructure that is both disruptively affordable and ground-breaking in its ease-of-use.”

Additional highlights from the survey include:

  • Total cost is the No. 1 factor when deploying virtualization, whether in the cloud or on-premise. Complexity of the resulting solution was the No. 2 consideration, as IT organizations continue to be forced to do even more but with fewer resources.
  • Length of time to deploy a virtualization solution was also called out as a major consideration in choosing a solution.
  • Security is a key concern among IT professionals when it comes to how and where their company’s data and infrastructure is managed. These survey participants deem on-premise infrastructure more secure.
  • Cloud deployments of virtualized infrastructures are surprisingly low, with fewer than 3 percent of companies having 100 percent of their virtualized environment in the cloud.

“This survey confirms that small and midsized businesses desperately need to both simplify and virtualize their environments,” said industry expert Stephen Foskett. “Converged infrastructure offerings like Scale’s HC3 are a fantastic way to accomplish both at once. If I was managing an IT environment, I'd definitely go the converged route rather than building a pieces-parts system.”

Scale Computing will reveal and discuss the survey and its findings on a live webinar Wednesday, March 27 at 1:30 EST / 10:30 PST, co-hosted by industry expert Stephen Foskett and Scale Computing executives. Register here for free: https://attendee.gotowebinar.com/register/9175184089747639040. For a complete list of survey findings, download the free report and infographic by visiting: http://bit.ly/CloudTakesABackSeat.

To learn more about Scale Computing, visit www.scalecomputing.com or call 877-SCALE-59.

Methodology: “Cloud Computing Takes a Backseat to Virtualization” was sponsored by Scale Computing, a leading provider of hyperconvergence solutions for small to medium-sized organizations. ApplicationContinuity.org used an independent database of IT professionals employed at U.S.-based companies to identify survey participants. A total of 3,285 participants completed the web-based survey, representing a wide cross section of organization sizes and industries. Of those companies responding, more than half had less than 500 employees. The top industry verticals represented are included in the full report.

About Scale Computing

Scale Computing is a leading provider of hyperconverged solutions built for midsized organizations. The HC3TM platform seamlessly integrates servers, virtualization and storage into a single system that is as easy to use as a smartphone. HC3 dramatically lowers the barriers and costs involved in keeping applications running in a highly available and scalable manner. By making complex infrastructure function like a single server, it’s the emerging choice for hundreds of midsized IT departments around the world. For more information, please visit www.scalecomputing.com or connect with us on TwitterFacebook or Spiceworks.

Contacts

Scale Computing
Heidi Monroe Kroft, Senior Director of Corporate Communications, 317-856-9959
Hkroft@scalecomputing.com

Release Summary

Report showcasing why midmarket organizations are embracing on-premise virtualization over the cloud, the driving factors behind this decision, and what alternatives companies are choosing.

Contacts

Scale Computing
Heidi Monroe Kroft, Senior Director of Corporate Communications, 317-856-9959
Hkroft@scalecomputing.com