November 5, 2014
Global Study Finds Enterprises Planning Widespread Deployment of Multi-Cloud IT Architectures in 2015
In an increasingly interconnected cloud landscape, accessing private direct connections to multiple cloud providers tops IT leadership agenda
REDWOOD CITY, Calif.—November 5, 2014—Equinix, Inc. (NASDAQ: EQIX), Equinix, Inc. (Nasdaq: EQIX), the global interconnection and data center company, today announced the results of a survey conducted by Dimensional Research that uncovers global trends in information technology (IT) strategies for 2015. The survey of more than 650 IT decision makers in Australia, Brazil, Germany, United Kingdom, North America, and Singapore found that the vast majority (77 percent) plan to implement multi-cloud architectures in the coming year. The survey also shows these same decision makers are seeking interconnected colocation data center environments because they offer direct connections to multiple cloud providers for increased security, reliability and performance.
A full copy of the report can be downloaded at http://www.equinix.com/resources/analyst-reports/cloud-adoption-study.
Executive Summary – From One Cloud to Many
Survey respondents indicate they plan to deploy multiple, geographically dispersed clouds in 2015, and 74 percent are budgeting for a multi-cloud migration strategy. Over the next 12 months, a significant number of business applications such as storage/backup, disaster recovery and business intelligence, among others, will be deployed to the cloud, and many of those workloads with third-party colocation providers. A key challenge associated with moving business applications into the cloud is security, with 85 percent of respondents listing it as their top concern, followed by performance and reliability. The majority of respondents indicate that direct connections to the cloud – those that bypass the public internet – are highly valuable with improved security being the top attribute associated with directly connecting to cloud services.
Interconnected Data Centers Critical to Multi-Cloud Deployments
The survey results underscore that interconnection – either high-bandwidth interconnection to other customers or via direct connect to cloud services – is key to realizing the promise of the cloud. In a multi-cloud architecture, enterprises must have the seamless ability to privately and securely connect multiple clouds across multiple sites using multiple forms of access. For enterprises using cloud services, an interconnected cloud environment provides the security, performance and choice required for IT decision makers to confidently rely on the cloud for mission-critical business. For cloud service providers, it provides the fastest route to cloud revenue by rapidly connecting business partners and customers while creating higher-performance, more differentiated service offerings.
Highlights / Key Facts
- Decision makers surveyed, comprised of IT executives (44 percent), IT managers (54 percent), and IT service providers (2 percent), stated
- 77 percent plan to deploy to multiple clouds in the next 12 months- 91 percent of new cloud-based offerings will be deployed in their organization over the next 12 months
- 91 percent of new cloud-based offerings will be deployed in their organization over the next 12 months
- 45 percent of new cloud-based apps will be deployed at a third-party colocation provider
- 87 percent indicate that interconnection is required to meet cloud performance objectives
- 85 percent indicate that direct connections to cloud providers are highly valued; security being the top attribute associated with direct connections
- 74 percent expect a larger budget in 2015 for cloud services
- Equinix pioneered direct cross-connects to cloud services, including enabling secure virtual connections to multiple, global cloud services via one physical port. It is home to the world’s leading businesses including 450+ cloud service providers such as Amazon, Box, Microsoft and Salesforce.com and the industry’s most interconnected cloud ecosystem. Additionally, Equinix provides access to more than 1,000 public and private networks – more than any other data center colocation provider. The company’s expert cloud consultants work with customers inside Equinix’s global Solutions Validation Centers to help them align their enterprise applications and data workload requirements with the right cloud and networking strategies.
- Ihab Tarazi, chief technology officer, Equinix:
“What surprised us about this survey is how quickly multi-cloud strategies are becoming the norm worldwide. Businesses have discovered that collocation provides a meaningful ROI for WAN optimization and it is clear that multi cloud deployment will improve the ROI even more.”
IT professionals with cloud responsibilities were invited to participate in a survey on the topic of business applications in cloud. The survey was translated into local languages and participants were given token compensation for their participation. The survey was issued to 659 IT decision makers in Australia (101, 15 percent), Brazil (51, 8 percent), Germany (104, 16 percent), United Kingdom (114, 17 percent), North America (189, 29 percent), and Singapore (100, 15 percent). 47 percent of those surveyed represented companies with over $500M in revenue.
Equinix, Inc. (Nasdaq: EQIX), connects more than 4,500 companies directly to their customers and partners inside the world’s most networked data centers. Today, businesses leverage the Equinix interconnection platform in 32 strategic markets across the Americas, EMEA and Asia-Pacific. www.equinix.com.
Forward Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements. Factors that might cause such differences include, but are not limited to, the challenges of acquiring, operating and constructing IBX centers and developing, deploying and delivering Equinix services; unanticipated costs or difficulties relating to the integration of companies we have acquired or will acquire into Equinix; a failure to receive significant revenue from customers in recently built out or acquired data centers; failure to complete any financing arrangements contemplated from time to time; competition from existing and new competitors; the ability to generate sufficient cash flow or otherwise obtain funds to repay new or outstanding indebtedness; the loss or decline in business from our key customers; and other risks described from time to time in Equinix's filings with the Securities and Exchange Commission. In particular, see Equinix's recent quarterly and annual reports filed with the Securities and Exchange Commission, copies of which are available upon request from Equinix. Equinix does not assume any obligation to update the forward-looking information contained in this press release.