Almost half of Australian IT leaders will drive their organisations' transition to hybrid cloud infrastructure over the next few years, according to a study by Microsoft. Approximately 40 percent of Australian respondents indicated that their organisations are already transitioning to hybrid cloud with either integrated or non-integrated public and private cloud infrastructure. Microsoft expects this number to increase to 49 percent in the next 12 to 18 months. However, 43 percent of IT leaders in Australia are still using only private cloud, while 17 percent are using only public cloud solutions, according to the survey that sampled 1,200 IT leaders within Asia Pacific. Australian organisations are not likely to increase their investments in private or public-only cloud solutions, it added.
More than half of all Australian CIOs and IT leaders will be increasing their investment in public cloud infrastructure as a service (IaaS) in the upcoming year, according to a new study by analyst firm Telsyte. The Australian IaaS market is expected to reach AU$621 million by the end of 2016, representing more than 60 percent growth since 2015. Telsyte has also predicted that IaaS expenditure will surpass AU$1 billion by 2020. The increase in spending is being driven by a shift in IT priorities, according to Telsyte, with IT infrastructure management becoming a top concern for Australian CIOs in the past 12 months, matching security for the first time. The Telsyte Australian Infrastructure & Cloud Computing Market Study 2017 also showed that big data analytics, storage, Internet of Things (IoT), artificial intelligence, and process digitisation are all driving the demand for cloud services.
Australian companies that embrace experimentation, strategic risk taking, and constant learning experience better outcomes from their digital transformation programs, a new Microsoft study has found. Microsoft recently conducted interviews with 30 senior leaders in both public and private sector organisations to better understand the success factors and obstacles involved in digital transformation, which the tech giant defines broadly as "harnessing new technologies to improve business outcomes". Embracing digital transformation: Experiences from Australian organisations states that there is no right way to approach digital transformation; however, most Australian organisations opted for a "test and learn" approach involving discrete projects and experiments, rather than structured programs. This experimental approach allowed for faster iterations and encouraged buy-in from the rest of the business, according to Microsoft's research. Improving customer experience remained the top driver and starting point of digital transformation.
Australia's Internet of Things at home market grew 55 percent in 2017 to reach AU$583 million, according to Telsyte, driven by a rapid uptake of smart speakers and increasing internet connectivity for appliances such as air conditioners and security cameras. The Telsyte Australian IoT@Home Market Study 2018 revealed that the average Australian household now has 17.1 connected devices in 2018, up from 13.7 in 2017. Telsyte said an "internet-connected device explosion" will drive this number to 37, or 381 million devices nationally, by 2022. The Internet of Things explained: What the IoT is, and where it's going next. "Building connectivity into consumer products will allow manufacturers to develop new business models and provide intelligent services that not only change consumers' lifestyles, but disrupt a number of traditional industries," said Telsyte managing director Foad Fadaghi.
In 2016, digitalisation is no longer a trend, but a core competency. As we head into 2017 knee-deep in the digital business era, Chief Information Officers (CIOs) in Australia have to identify how best to exploit technology to maximise the efficacy and efficiency of business processes, decrease operational costs, improve customer experience, grow revenue, and create additional revenue streams -- all the while staying within a budget. According to a recent study by Gartner, funding and budgets have been identified globally as the second biggest hindrance to CIOs achieving their objectives, the biggest being talent gaps. Research by Telsyte, on the other hand, shows 75 percent of IT budgets in Australia are spent on operations and transformation programs, with 25 percent left for innovation. In Australia, IT budgets have been relatively consistent, with Gartner expecting spending to reach almost AU 80 billion by the end of 2016, a 2.5 percent increase from last year when reported in local currency.