Organisations in the UK are increasingly moving away from on-premises environments in favour of managed hosting services.
According to Information Services Group (ISG), a technology research and consulting firm, large and mid-sized enterprises are shifting their cloud environments away from the public cloud to the private cloud, or to a hybrid model.
The ISG Provider Lens Private/Hybrid Cloud – Data Center Services 2024 report finds that change is largely driven by the growing need to enhance security and comply with changing regulations.
“Service providers can help mid-sized companies develop these hybrid cloud strategies,” said Anthony Drake, ISG partner in Northern Europe.
“They offer low deployment costs, disaster recovery solutions, and access to modern computing technologies such as serverless architecture, database as a service, and DevOps practices.”
Many businesses in the UK are gradually shifting their focus from on-premises environments to off-premises services such as managed hosting for data storage and business continuity purposes.
This reduces the burden of running a private data center while maintaining control over the hosted data, ISG said. It also provides businesses with additional flexibility and features, such as multi-cloud connectivity, low-latency network connectivity, bare metal services, platform-independent operating systems, and database support.
Meanwhile, the report noted that UK data centres are positioning themselves as connectivity hubs, providing access to advanced communications infrastructure such as fibre, dark fibre, internet exchange points (IXPs), and undersea cables.
“Large enterprises in the UK are looking for providers that can deliver reliable uptime, secure data storage and high-performance network connectivity,” said Jan-Eric Asse, Partner and Global Leader, ISG Provider Lens Research.
“Mid-sized businesses are prioritizing comprehensive technical support, including 24/7 monitoring, rapid incident response and proactive maintenance that ensures maximum uptime and availability.”
With rising energy costs and general economic pressures, ISG has found that many UK businesses are struggling to achieve the kind of financial stability they need to embrace new technologies such as AI.
The company advised focusing on improving cloud computing, where FinOps offers the best solutions. Organisations should also resist the “London first” approach and consider data centres in other areas such as Manchester, Slough and Birmingham, which may be more cost-effective.
Similarly, instead of hiring new employees, companies should train their existing workforce, perhaps with help from a cloud provider. They should also closely monitor potential security vulnerabilities in their infrastructure.
“Organizations that become complacent about their security may be in for a severe shock,” the researchers warned.
