97 Percent of Enterprises in Asia Pacific Using Public Cloud Have Adopted a Multicloud Infrastructure Provider Strategy

New research found that IT leaders use multiple cloud providers to benefit from reduced costs and more control over their data

SINGAPORE, April 3, 2023 /PRNewswire/ -- Customers are looking at multiple cloud providers to meet their enterprise requirements. Multicloud is the reality in enterprise technology according to a study from 451 Research, part of S&P Global Market Intelligence, commissioned by Oracle. The study collected information from 1,500 respondents at enterprises about how they use the cloud within their organization and found that almost every cloud journey is now becoming a multicloud journey. Read the full report here.

Cloud adoption has become synonymous with how enterprises build business agility and operational efficiency. While these trends have existed for some time, more than 90 percent of Asia Pacific respondents agreed that the COVID-19 pandemic has been a strong driver of greater interest and investment in cloud technology. As organizations faced new challenges such as increased levels of remote work and collaboration with new business partners and suppliers, they adopted a multicloud strategy to gain the flexibility and scalability they needed for this new reality.  

"The 'one-stop-shop' mentality has died when it comes to the cloud. Instead, multicloud is the reality of enterprise technology environments as these organizations seek to get the right mix of solutions and capabilities they need to operate effectively," said Melanie Posey, research director, Cloud & Managed Services Transformation at 451 Research. "Multicloud is here to stay, and enterprises are choosing this model for the benefits it provides for a range of different business and operational requirements, like business agility or access to best-of-breed technology."

Key findings from the study include:

Almost every cloud journey is multicloud

• 97 percent of Asia Pacific enterprises surveyed are using or plan to use at least two cloud infrastructure providers and 35 percent are using four or more.
• 95 percent of Asia Pacific respondents reported they are using or plan to use at least two cloud application providers (Software-as-a-Service), with more than 48 percent using cloud applications from five or more providers.
• This multicloud strategy allows IT departments to meet the specific technology needs of different teams across the organization.

Data sovereignty and cost optimization are driving demand for multicloud strategies

• The top two drivers of multicloud strategies in enterprises are data sovereignty (44 percent) and cost optimization (40 percent).
• Other drivers of multicloud strategies include business agility and innovation (32 percent), best of breed cloud services and applications (27 percent) and cloud vendor lock-in concerns (26 percent).
• Multicloud strategies give enterprises more control over where and how their data is stored and used, while also ensuring businesses can control the costs of their cloud operations by adjusting which services they use from different providers.

Enterprise organizations are proactively planning multicloud strategies for the future 

• Data redundancy (56 percent) is the most anticipated future use case, followed by data mobility (52 percent) and cost optimization across public clouds (45 percent).
• IT departments also plan to use multicloud strategies for risk mitigation for the entire IT environment (41 percent) and geographic expansion or global service delivery (44 percent). 
• The fact that IT departments are planning multicloud strategies shows that they see multicloud as a way to get ahead of their technology needs, instead of simply a tactic to react to crises.

"Customers are on-boarding new cloud providers to accelerate their digital transformation goals.  They want to get their existing mission critical workloads on the cloud faster, without the cost or risk of having to re-write, to then tap into the innovation areas driven by machine learning and AI" said Chris Chelliah, senior vice president, technology and customer strategy, Oracle Japan and Asia Pacific. "Unique among hyperscale providers, Oracle Cloud Infrastructure (OCI) offers customer choice to deploy workloads where they best fit - on-premises, on the public cloud or even across multiple clouds. With the recent introduction of MySQL HeatWave on AWS and Oracle Database Service for Microsoft Azure, Oracle has broken down the wall between cloud providers, so that customers can achieve their business outcomes."

This research validates the approach OCI has taken with its distributed cloud and management offerings, which earned Oracle recognition as a leader in the recent Omdia Universe: Hybrid and Multicloud Management Solution, 2022–23 report (December 2022). Read a complimentary version of the report here.

Methodology
The survey data used in this report was collected by 451 Research, part of S&P Global Market Intelligence, and commissioned by Oracle. The global survey was fielded in the third quarter of 2022 and is based on a cross-industry sample of 1,500 enterprise respondents in North America, Europe, Asia-Pacific, the Middle East, and Latin America.

About OCI's Distributed Cloud
OCI's distributed cloud offers customers the benefits of cloud with greater control over data residency, locality, and authority, even across multiple clouds. OCI's distributed cloud features the following:

• Multicloud: OCI's multicloud capabilities such as Oracle Database Service for Microsoft Azure and MySQL HeatWave give customers the choice to pick the best cloud provider for their applications and databases.
• Hybrid cloud: OCI delivers hybrid cloud services on-premises via Oracle Exadata Cloud@Customer and manages infrastructure in over 60 countries.
• Public cloud: Today, OCI operates 41 OCI regions in 22 countries, with 9 more planned, including two sovereign cloud regions for the EU.
• Dedicated cloud: OCI delivers dedicated regions for customers to run all Oracle cloud services in their own datacenters, and Oracle Alloy will enable partners to customize the cloud services and experience for their customers.

About Oracle
Oracle offers integrated suites of applications plus secure, autonomous infrastructure in the Oracle Cloud. For more information about Oracle (NYSE: ORCL), please visit us at oracle.com.

About Oracle CloudWorld Tour
Oracle CloudWorld Tour is Oracle's global celebration of customers and partners. Join us to discover the insights you need to tackle your biggest business challenges, build your skills, knowledge, and connections, and learn more about our cloud infrastructure, database, and applications from the people that build and use them. For live keynotes, session details, news and more visit oracle.com/cloudworld-tour or oracle.com/news.

Trademarks
Oracle, Java, MySQL and NetSuite are registered trademarks of Oracle Corporation. NetSuite was the first cloud company--ushering in the new era of cloud computing.

SOURCE Oracle