Large organisations across New Zealand have deployed some degree of virtual private clouds (VPC) or hybrid cloud models, but these exclude the required cloud attributes including consumption-based metering or automated self-service provisioning, according to a new report by IDC.
The report ‘Cloud for Business – Big Bang Principle but Evolutionary Execution’ highlights that the exclusion of required cloud attributes across large organisations in New Zealand illustrates the maturity of the market.
IDC New Zealand IT services market senior analyst Rasika Versleijen-Pradhan said part of the cloud rationing approach is because many organisations are initially transitioning to a hosting model based on their current investments in infrastructure, before embarking on an automated and orchestrated cloud model.
"Often the first step for organisations is server virtualisation. The limitations and perceived risks associated with public clouds have also driven greater demand for secure private clouds," Pradhan said.
"The typical pattern suggests that organisations will use private cloud builds as a stepping stone to tap into broader public cloud environments, as technology capabilities mature and security concerns are addressed."
The report revealed that the vendors profiled in the report (Datacom, Gen-i, HP, IBM and Unisys) who have all taken similar approaches to the market; moving clients to private/VPC to improve operational efficiencies, and using public cloud services if and when it suits clients.
"To remain competitive many of these traditional IT Service Providers (ITSPs) have simultaneously launched managed services, firstly, as a means of adding higher value beyond the basic Infrastructure as a Service (IaaS), where the hardware is quickly commoditising. Secondly, to take the management of these increasingly complex hybrid environments, away from the client."
The research firm said that organisations recognise that cloud is simply another sourcing option in the outsourcing mix. Implying that any changes in the delivery model must be undetectable to the customers of the business, who have no interest in what changes have been made to the underlying systems only the outcomes that help them meet their objectives.
