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Cloud services top priority in Australian and New Zealand enterprises in 2016

Around 60% of IT leaders in Australia and New Zealand expect their cloud computing spending to increase in 2016, with hybrid cloud projects a priority

The majority of IT decision makers in Australia and New Zealand (ANZ) will increase their spending on cloud services in 2016 with hybrid cloud infrastructures planned, according to research from Computer Weekly parent company TechTarget.

A total of 59% of ANZ-based respondents to the global survey of IT decision makers said their cloud computing budget would be higher in 2016 than in 2015.

This compared with 38% who said the software budget would increase, 35% who expect bigger IT staffing budgets and 28% who expect to have more money for hardware.

In terms of overall budget, the survey revealed that 48% of IT leaders in the ANZ region expect the IT budget to rise, while 25% expect it to stay the same and 15% expect a reduction.

When it comes to planned cloud investments, the most common project being planned around cloud computing was the implementation of a hybrid cloud infrastructure (46%). These organisations opt for hybrid cloud services that enable them to buy some processing power upfront and rent more when needed.

Speaking to Computer Weekly in October 2015, Telsyte analyst Rodney Gedda said hybrid cloud offers an optimised computing environment for most enterprises in Australia. Therefore, IT professionals will need to perform integration to allow public and on-premise or private cloud to sensibly co-exist.

He added that unlike public cloud, which could be bought by anyone in the enterprise, effective hybrid cloud deployments need the IT department and business teams to co-operate. “Hybrid is definitely the way of the future. The opportunities are boundless to take control of applications and services,” he said.

The TechTarget survey revealed that 19% of ANZ IT decision makers plan a private cloud project in 2016, while 17% plan virtual desktop infrastructure project.

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