Cloud Native models paying off for businesses

Capgemini's new report highlights agility and scalability benefits of cloud native apps on business.

Moving to a Cloud Native model (apps that are designed in, and primarily for the cloud) is driving business agility, scalability and velocity, according to a new Capgemini report

The report, entitled Cloud Native Comes of Age: What Businesses Need to Know, surveyed 902 executives. Looking at the results from the UK, 40 per cent of apps are to be developed using cloud native by 2020. Capgemini says the UK is above the global average in adoption, adding that in the US, just 11 per cent of apps are to be developed using cloud native in the same timeframe.

For UK businesses, main drivers are reliability, agility and a boost to customer experience. 

In general, 15 per cent of new apps are built in the cloud-native environment, which will more than double (32 per cent) by the time we reach 2020, Capgemini believes. For 84 per cent, this approach increased their revenue and reduced operating costs. 

The biggest challenges, however, are ‘skills and cultural change’, in 70 per cent of answers. Respondents seem to worry a bit less about cost and technology issues. 

The report also says that CIOs will need to change the way they approach business. One of the conclusions is that business managers don’t trust their CIOs or IT departments to deliver anything more than cost reduction.

“This is an exciting shift in our industry. We predict that cloud-native architectures will become the default option for customer-facing applications by 2020, driven by a need to continuously deploy innovations at an accelerated pace and enhance the customer experience. Businesses that delay adopting this approach will struggle to make up the gap with cloud-native competitors,” said Franck Greverie, Cloud and Cybersecurity Group Leader at Capgemini. 

“Organisations need to listen to their CIOs and understand the huge potential of cloud-native technology to deliver business benefits and innovation. CIOs must also address culture and skills gaps within their own organisations on the road to being cloud-native leaders.” 

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