86 Percent of Enterprises Likely to Connect to Multiple Cloud Hosting Service Providers within Two Years

A recent study commissioned by XO Communications revealed that, despite long-held concerns about security and performance, the number of enterprises that will connect their corporate networks to two or more cloud hosting service providers will triple within the next two years. XO commissioned IDC to perform the research in order to validate and quantify leading trends in hybrid cloud hosting adoption.

The study revealed that 86 percent of enterprises are likely to connect to multiple cloud hosting service providers within two years. This means that the percentage of enterprises planning to expand the use of a multi-cloud strategy will increase from 29 to 86 percent over the next two years.

xo-communicationsThe research also revealed the importance of key cloud attributes when accessing multiple cloud service providers. On a scale of one to five (where one indicates an attribute is not important and five indicates it is extremely important), enterprises rated network reliability and availability at 4.41 and secure data transport at 4.31. IT managers also placed high importance on the performance management capabilities of the network provider they use to access cloud hosting services.

Survey respondents further indicated that they expect to increase use from an average of two cloud hosting service providers to four within the next two years.

IDC Whitepaper

idc-study-cloud“As a market leader in IP and Ethernet networking and cloud connectivity, XO believes in the importance of helping customers stay at the forefront of emerging trends,” said Jake Heinz, senior vice president Marketing and Product, XO Communications. “An expected increase in the percentage of enterprises planning to expand the use of a multicloud strategy from 29 to 86 percent over the next two years is a significant trend our customers need to understand.”

The research findings were recently published by IDC in a white paper titled “Why Are Enterprises Connecting to Multi-Cloud Services?” The emergence of hybrid cloud architectures, in which businesses leverage both private and public cloud resources, are enabling IT managers to more efficiently support the increasing demand for enterprise cloud applications.