Forget About Public Cloud, Hybrid Cloud is Where the Real Game of Thrones is Being Played

Recent press has focused on the battle between Google and Amazon for domination of Cloud services, with Microsoft positioned as the third place challenger.  This picture may well be true for Public cloud services, but it ignores the huge market for Hybrid cloud that is arguably where the bulk of enterprise revenues are going.  And this arena is dominated by companies such as HP, IBM, Microsoft and VMware.

All of our recent research points to hybrid as the main area where enterprise buyers are making their investments, particularly taking into account the fact that most private cloud is extended through a hybrid model.  In a recent Channel Cloud consulting survey of more than 350 executives, directors and managers in companies with revenues ranging from $25 million to north of $1 billion and in a range of industries including telecom, banking, retail, healthcare and manufacturing, we found a large majority were focused on implementing either some form of private or hybrid cloud:

A very small minority (4%) listed Public Cloud as their preferred infrastructure deployment model.  Furthermore, more than half of the companies focused on hybrid and private cloud were migrating 10% or more of their spending to the cloud in the coming year.  And this spending shift is happening quickly:

This just means is that the public dialog focused on Public Cloud is really a distraction.  The real game here is around private and hybrid cloud, and the companies focused on this market are going to drive significant near term revenue from hybrid cloud solutions.

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