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Covid Affects Businesses’ Relationship To Cloud Computing

Covid Affects Businesses’ Relationship To Cloud Computing: Businesses and individuals find refuge in cloud computing as the worldwide epidemic escalates. The COVID epidemic has further hastened the need for businesses to embrace cloud computing as the primary enabler to finish their digital transformation. The cloud is quickly rising to the top of the C-suite agenda as companies move from a piecemeal to an end-to-end digital transformation. Tomorrow’s victors will be the ones who adapt quickly to this shift, make wise decisions, and work with the right partners to bolster their strengths.

  • It has made it less critical to move to the cloud due to decreased activity.
  • It has accelerated the urgency for businesses to move to the cloud quickly.
  • It has made businesses more reliant on locally hosted technology solutions.
  • It has decreased the performance gap between high and low cloud adopters.

How the COVID-19 Pandemic Has Impacted Cloud Spend Globally?

The COVID-19 outbreak has impacted the lives of people worldwide and forced organizations to make numerous changes to business operations. We’re living in a time where the phrase ‘business as usual’ no longer applies, but ‘modernize IT’ and ‘accelerate business transformation’ are more important now than ever.
The pandemic has added pressure on IT teams that must accommodate remote workforces and enable scalable infrastructure for their products and service offerings.
To better understand the impact of COVID-19 on public cloud spend, we’ve analyzed our customer base—more than 10,000 companies worldwide—to identify potential trends and draw insights based on their average cloud spend. It is the first within a series of blogs we will publish related to this topic.

The Benefits of the Cloud

The Benefits of the Cloud


While more established businesses have seen the need to embark on multiple small projects or broader journeys to transform the way they work digitally, some smaller companies and startups have emerged with a digital-first model, and typically, they have worked on only one—cloud-centric foundation.

The substitute for cloud computing is the traditional on-premise solution, which involves hosting and maintaining private data centers and servers on a company’s computers. Its drawbacks are that the company must maintain the servers, which require security expertise and management, software licensing and patches, and technical support.

In Farmer’s view, taking a careful and measured approach to migrating to the cloud makes sense. He did not see any rush towards Badal once the lockdown began. He observed that many projects were moving to the cloud quite quickly, making it challenging to work locally when the team working on the project was geographically dispersed. “So it’s not that people saw the cloud as the solution. It was the easiest and most cost-effective way to keep a project going.”

For your customers, the critical drivers for migrating to the cloud are agility and the ease and simplicity of handling complex systems. He said the low costs are a result of the above. “If you make things simpler and more direct, there should be a cost-benefit.”

Impact of COVID-19 on the Global Cloud Market


With income and cash flow under severe strain due to the COVID-19 epidemic, businesses and organizations are cutting down on IT investments. However, the regional cloud market is significantly impacted in a good way. Due to lockdowns during the COVID-19 epidemic, most workers work from home. Thus, there is a growing need for private cloud networks to strengthen online connectivity and protect critical information. Collaboration solutions are experiencing a dramatic uptick in demand as more and more workers adopt working remotely. As a result of lockdown measures in all of the world’s leading economies, there has been an increase in the demand for online commerce and media streaming. To meet the rising demand, businesses and government portals are boosting their investments in cloud-based eCommerce and front-end platforms.

It anticipate that expenditure on enterprise software will increase at a slower rate. Travel restrictions and subsequent project delays will harm the IT consulting and professional services business. These developments would boost interest in public cloud services, particularly SaaS-based industry-specific apps like those for collaboration, productivity, and disaster recovery.

The Significance of Cloud Computing

Adapting and implementing cloud computing provides organizations with potential opportunities to improve services, enhance business values, enrich efficiency, and reduce unnecessary costs (Sallehudin, Razak, & Ismail, 2015), as shown in Fig 1. Firstly, cloud-based software allows all business sectors to deploy software from any device through any server or a native application (Kacamarga et al., 2020). It is worth noting that employees can access their information and files seamlessly on any electronic device.

Another advantage is that it provides a substantial cost-saving potential as the organizations do not purchase, maintain, and construct complicated infrastructures and extortionate information management technology (Owusu, 2020). It can transform the costly server centers and IT departments into speedy internet connections, where consumers can interact with the cloud online to accomplish tasks.

Rising Demand Poses a Threat to Cloud Services

Rising Demand Poses a Threat to Cloud Services


Cloud service providers must be aware of the challenges arising from increasing demand. In addition to remote work, digital events instead of live meetings and flowing services will add pressure to already growing demand.

Cloud offerings will need to maintain operational support while working remotely or with reduced staff, and the supply chain will be affected by supply shortages due to manufacturing facilities located in China and other regions influenced by current events. Cloud service contributions that have not been stress-tested may not be prepared to deal with these threats.

New Technologies Present Opportunities

The cloud computing model is integrally designs to handle changing demand and, if applied correctly, should be able to support increased requests, such as those caused by the COVID-19 crisis. Reasons arose.

However, in reality, some providers have reserved substantial customization capabilities. Those who demonstrate their strengths and adaptability can do so, for example, by providing free or discounted conferencing and collaboration services. And showing the power of new technologies like virtual certainty to make virtual seminars feel more natural. Improve your cloud telecom offerings with telecom providers. By benefitting from these and other opportunities, cloud providers can influence the extent to which cloud-based digital work becomes the norm slightly more than the exception.

Final Word on How Has The Covid-19 Pandemic Affected Businesses’ Relationship To Cloud Computing?

The dependency on cloud computing has dramatically increased due to the COVID-19 pandemic, as it has profoundly affected almost all sectors. Adapting and implementing cloud computing offers has improved business in this challenging situation. Additionally, the importance of cloud computing is critically discussed as it is suitable for all sectors, reduces cost-spending, stores data in the cloud, and provides business value.

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