How the Cloud is Delivering Everything as a Service
Software as a Service (SaaS) has been around for some time. But most recently, so many aspects of IT and data center functionality have headed to the cloud that the term Everything as a Service (XaaS) has taken root. Everything from CRM to ERP, backup to DR, and security protection to analytics is moving to the cloud.
Gartner research studies estimate that the market for applications, application infrastructure, and systems infrastructure delivered as public cloud services will total $43 billion this year. Enterprise Strategy Group (ESG) dug further into the XaaS trend, predicting that non-core workloads are the ones that business can expect to head cloud-ward fastest.
Applications not directly tied to business revenue are going to be offloaded sooner or later to the cloud: email, office productivity suites and CRM are prime examples. Even more technical workloads such as development and testing are migrating to Platform as a Service (PaaS) environments.
According to ESG, services that will take longer to move to the cloud include accounting, finance, human resources, business intelligence, analytics, project management and industry-specific applications. But that doesn’t mean they will remain internal. Many of these applications already exist in the cloud. Businesses are just less likely to hand over control of these mission critical functions – at least in the near term.
Two functions that can be classified as non-core are backup and DR. That’s why Backup as a Service (BaaS) and Disaster Recovery as a Service (DRaaS) are getting so popular. The ESG study doesn’t take them into account because so many organizations are already using them in the cloud.
The countless hours IT has to spend on in-house backup and DR just aren’t worth the time and resources to businesses. Having to supply the hardware, software and manpower needed to provide in-house backup and DR is being regarded more as an expense than a strategic asset. That’s one of the reasons why IT departments often find it hard to get the budget they need to provide the level of protection their business requires.
In the eyes of management, IT time would be better spent on more important business-related tasks rather than daily backup maintenance. That’s why enterprises and MSPs are happy to let cloud service providers handle all of their backup and disaster recovery needs. Businesses are able to have the same high quality IT service as they would by managing DR internally, but for a much lower price tag by outsourcing to the cloud.