As 2022 comes to a close, we look back on the innovations, trends, and announcements regarding cloud providers.
How will cloud providers weather the uncertain headwinds of a volatile economy, cloud provider competition, and vying for talent?
The burgeoning trends identified in 2022 has been Data Analytics, AI/ML capabilities, and optimization ( infrastructure/cost dimensions).
Many fortune 500 companies are looking to implement initiatives to reduce cost and optimize on cloud providers, on-premise data centers, while innovating on their platforms with compelling new functionality for their customers.
The overall trend identified, companies have found business success by migrating from costly on-premise data centers to a more efficient and an increased time to market leveraging cloud (Alibaba, AWS, Azure, GCP). Companies can take advantage of global regions, reliable networks, scale, and elasticity.
Companies for nearly 20 years have been gathering data from click streams, page visits, email opens, and purchased products. With this data being stored in various data sources or databases, these sames companies have the information on their customers deriving activities like personalization, recommendations, next best action based upon AI ML algorithms and models analyzing this data with extensive training to produce a high confidence score.
Cloud providers are doubling down on Data Analytics and AI/ML products and services to service their incumbent customers, but also attracting new adopters. In parallel cloud providers are going back to a tried and true playbook of optimization. Optimization can have multiple meaning; for example cost optimization or operational efficiency or better performing infrastructure or better programming around product delivery.
Optimization is all of these ideas rolled up into an end to end (E2E) approach or edict for companies to follow as we enter into a more financially fit maturity cycle for companies. Companies are moving the needle on identifying low hanging fruit items and converting them to immediate cost savings in the millions. This in turn gives them the flexibility to plan for new product development with highest revenue/margin potential. Classic case of re-investment in the initiatives that have the biggest pay off.
But as customers, businesses, and enterprises become better equipped to take on their financial realities, their path forward becomes more laser focused with both rigor and lessons learned. With the rapid adoption of data analytics and AI/ML are primed to assist in further optimization & efficiency through base-lining, forecasting allowing companies to pivot. This pivot will prove to benefit not only the companies customers, but improve their overall organization.
Companies will have a deeper understanding of both their business models and customers, all facilitated through data and machine learning.
About the Author
Rueben Jimenez --Sr. Solutions Architect @ Amazon Web Services | Specializing in Data Analytics, ML, AI, GenAI, DevOps, and Public Cloud Migrations.