WEBINAR Welcome To The Cloud’s Second Decade: 10 Key Developments In Cloud Computing You Must Know Dave Bartoletti, Principal Analyst William Martorelli, Principal Analyst January 24, 2017. Call in at 12:55 p.m. Eastern time

Hello Dave Bartoletti, Principal Analyst Serving infrastructure & operations pros Virtualization and cloud veteran, advising clients on public cloud platforms, cloud transformation, cloud management, cloud economics, and modern app platforms IBM, TIBCO, Fidelity, Enigmatec (EMC)

Hello William Martorelli, Principal Analyst Serving infrastructure & operations pros Infrastructure management services, applications management services utility computing models, cloud services, and managed sourcing

State of the cloud computing market Spending, adoption, and major trends heading into 2017

Fast digital businesses form cloud-based ecosystems centered on the customer

Public cloud spending is in hypergrowth 3x $236B $114B 2x Source: The Public Cloud Services Market Will Grow Rapidly To $236 Billion In 2020 Forrester report

Public cloud adoption is also in hypergrowth “What are your firm’s plans to adopt public cloud pay-per-use IaaS/PaaS platforms?” 2013 2013 2014 2014 2015 2015 2016 2016 2017 (est) Sources: Forrester’s Forrsights Hardware Survey, Q3 2013 (n=1253); Forrester’s Global Business Technographics Infrastructure Surveys [2014, N=3190; 2015, N=3592; 2016, N=3503].

The five broad trends that will shape cloud in 2017 1. Modernization of complex enterprise apps 2. Containers everywhere shake up platform foundations 3. Serving two masters: cloud-native and digital transformers 4. Hyperscale cloud vendors fill app, geo, or industry niches 5. Analytics takes center stage: there’s gold in your data

Survey question No. 1: What percentage of your company’s total application portfolio do you expect will reside in the public cloud in five years? Please choose one: Less than 25% 25% to 50% 50% to 75% 75% or more

Survey question No. 2: How would you describe your company’s current progress in migrating applications to the public cloud? Please choose one: We haven’t started planning or migrating. We’re in the planning stage. We’ve started migrating some applications. We’re actively migrating apps today. We’ve migrated most of the apps we plan to migrate.

Cloud predictions 2017 10 key developments in cloud computing you must know

1. Beyond pay-per-use, buyers will save money in cloud many ways 1. Beyond pay-per-use, buyers will save money in cloud many ways. Action: Cloud cost management must become IT’s responsibility, and technology managers must improve their knowledge and skills. Sample of cloud cost differences and considerations

2. Hyper-converged infrastructure (HCI) will help private clouds get real. Action: Adopt HCI to increase your chances of private cloud success.

3. Size still matters, but the largest megaclouds won’t be your only option. Action: The best cloud for you in 2017 might not be the biggest cloud. Re-engage with your service providers.

4. Lift-and-shift tools improve to make migration easier Multiple viable cloud migration options in 2017: Replace (with SaaS) Rebuild (net new) Lift and extend Hybrid extend “Lift and shift”

5. Hybrid cloud networking will remain the weak link in hybrid cloud 5. Hybrid cloud networking will remain the weak link in hybrid cloud. Action: Start now with cloud connections and software-defined networking (SDN).

6. Enterprises will shun large, complex, and costly private cloud software suites. Action: Re-evaluate your private cloud strategy and tools in 2017.

7. SaaS will move away from one-size-fits-all to regional and industry solutions. Action: Don't jump in headfirst without understanding long-term implications.

8. Chinese firms will be the key drivers of global cloud evolution 8. Chinese firms will be the key drivers of global cloud evolution. Action: Put Chinese ISVs and service providers on your radar.

9. Containers everywhere will shake up cloud platform and management strategies. Container DIY Requires assembly, platform engineering skills, risk tolerance, and strong ecosystem participation CaaS Requires some assembly and skills and risk tolerance limited curation PaaS Requires little assembly and fewer skills; stronger curation Action: Reweigh your PaaS, container orchestration, and cloud management needs.

10. Cloud service providers will design powerful security into their offerings. Action: Retain control of your own security destiny.

Related research: additional reading Brief: China’s Clouds Come To Europe Brief: A Clear Multicloud Strategy Delivers Business Value Brief: Top 10 Facts Every I&O Pro Should Know About Cloud Economics The Forrester Wave™: Global Public Cloud Platforms For Enterprise Developers, Q3 2016 The Public Cloud Services Market Will Grow Rapidly To $236 Billion In 2020 Understand Public Cloud Pricing Strategies To Save Money Today And Tomorrow Vendor Landscape: Public Cloud Platforms Consolidate, But New Disruptions On The Way

Dave Bartoletti +1 415-294-8136 dbartoletti@forrester.com Twitter: @davebartoletti William Martorelli +1 617-613-8505 wmartorelli@forrester.com Twitter: @billmartorelli

Q&A