Companies still want to do more with cloud, but security remains a key concern

Digital clouds against a blue background.
(Image credit: Shutterstock / Blackboard)

  • Rackspace report find scompanies are reverting from public cloud environments
  • Hybrid and on-prem is increasingly favored
  • Security and cost are to blame for change in position, report notes

New research from Rackspace has revealed just how much companies want to speed up their AI adoption – with more than nine in 10 of organizations planning significant changes to their cloud strategies over the next two years.

However, the same key hurdles continue to slow them down, with many citing security as a key concern.

Moreover, Rackspace revealed a changing trend in the world of cloud, with more companies looking to reduce their reliance on public clouds.

Cloud adoption is changing

Two in five firms said they were planning to accelerate hybrid cloud adoption (22%) and private cloud adoption (20%), which Rackspace suggests could be a move designed to improve flexibility, adaptability, and resilience.

More than two-thirds (69%) said they’ve considered repatriating some of their workloads from public clouds back to private clouds or even on-prem infrastructure.

Data security and compliance requirements (50%), integration with existing systems (48%), and cost saving (44%) are all to blame for the evolving trend, painting the picture public cloud providers aren’t doing enough to retain existing customers.

“As AI continues to drive rapid advancements, IT leaders are reevaluating their approach to workload management," noted Rackspace Technology President for AI, Technology, and Sustainability, Srini Koushik. "Instead of updating existing infrastructure, they are designing entirely new cloud strategies to meet evolving demands.”

AI was identified as a key catalyst for evolving cloud developments, with 84% confirming they’d taken steps to integrate and streamline their AI and cloud strategies.

Of the more than 1,400 ITDMs surveyed, an overwhelming majority (96%) have established procedures and policies in place for data privacy and compliance, and the fact that they’re changing how they tailor their cloud computing strategies is indicative of some unease with current systems.

Rackspace VP for Technology and Sustainability Ben Blanquera added companies are also hiring workers with skills in Kubernetes, serverless architectures, and cloud security, which aligns with the increased focus on security.

You might also like

Craig Hale

With several years’ experience freelancing in tech and automotive circles, Craig’s specific interests lie in technology that is designed to better our lives, including AI and ML, productivity aids, and smart fitness. He is also passionate about cars and the decarbonisation of personal transportation. As an avid bargain-hunter, you can be sure that any deal Craig finds is top value!

You must confirm your public display name before commenting

Please logout and then login again, you will then be prompted to enter your display name.

Read more
Digital clouds against a blue background.
GenAI development is pushing along cloud adoption at a record pace
Cloud computing graphics.
Cloud repatriation – how to balance repatriation effectively and securely
Digital clouds against a blue background.
Keep your options open for successful AI use
Data center racks with cables and servers
The tipping point for AI and Managed Cloud
Cloud computing graphics.
4 key trends redefining the IT landscape
Digital clouds against a blue background.
Cloud spending to reach a staggering $723bn in 2025, thanks partly to the explosive demand for AI resources
Latest in Pro
Finger Presses Orange Button Domain Name Registration on Black Keyboard Background. Closeup View
I visited the world’s first registered .com domain – and you won’t believe what it’s offering today
Racks of servers inside a data center.
Modernizing data centers: an efficient path forward
Dr. Peter Zhou, President of Huawei Data Storage Product Line
Why AI commonization is so important for business intelligent transformation and what Huawei’s data storage has to offer
Wix automation
The world's leading website builder aims to save businesses time with new tool
Data Breach
Thousands of healthcare records exposed online, including private patient information
China
Juniper patches security flaws which could have let hackers take over your router
Latest in News
A super close up image of the Google Gemini app in the Play Store
It's official: Google Assistant will be retired for phones this year, with Gemini taking over
Quordle on a smartphone held in a hand
Quordle hints and answers for Sunday, March 16 (game #1147)
NYT Strands homescreen on a mobile phone screen, on a light blue background
NYT Strands hints and answers for Sunday, March 16 (game #378)
NYT Connections homescreen on a phone, on a purple background
NYT Connections hints and answers for Sunday, March 16 (game #644)
Three iPhone 16 handsets on show
Apple could launch an iPhone 17 Ultra this year – but we've heard these rumors before
Super Mario Odyssey
ChatGPT is the ultimate gaming tool - here's 4 ways you can use AI to help with your next playthrough