Importance of Cloud For Western Europe
Published on 13 Jan 2022
Western Europe has been sluggish to adopt cloud computing. While C-suite executives in the area acknowledge the need to improve their technological infrastructure, far too many regard digital transformation as a job for another day. They are now at risk of being left behind.
Can business leaders afford to remain still while the epidemic rages and the fourth industrial revolution gathers steam?
Since the release of COVID-19, inaction has not been an option. Working from home and the demise of physical locations hastened everyone's efforts to transition digitally.
Businesses who were already on their cloud journey, on the other hand, got a head start — and some even used the epidemic to their advantage. With additional uncertainty on the horizon, cloud adoption is no longer a "nice-to-have." It is necessary for survival.
Western Europe Is Lagging Behind In Cloud Adoption
Improved customer experiences and workforce productivity; improved security and operational efficiency; all at a lower cost. The advantages of digital modernization, aided by the cloud, are frequently discussed. Nonetheless, despite significant boardroom debate, many companies have yet to grasp the opportunity and implement the shift.
This is especially true in Western Europe. According to O'Reilly Media1 research, which included over 3,200 firms from around the world, 24 percent of Western European corporations consider themselves "skilled cloud users," having utilized the infrastructure for more than four years. In North America, 30% of respondents classified themselves as being in this category. Another third (32 percent) of European businesses say they're "simply researching" cloud possibilities and haven't made a final decision.
Geographical And Industry Limitations
In addition to the necessary organizational shift, there are a number of practical obstacles that may have hampered cloud adoption in Western Europe. The region has historically been more worried about privacy and security than the United States, but the location of cloud suppliers has also played a factor. Hyperscalers like Google, Amazon, and Microsoft were created and headquartered in North America." A typical impediment might be a fear of anything 'not invented here,'' explains Marwan Semaan. When a hyper-scale installs a nearby data center, demand for cloud suppliers frequently increases locally.
Cultural Inertia's Challenges
Cultural inertia and apprehension about the impact on day-to-day operations inside a business may make cloud migration feel like a job for another day. "If we look at these firms, we can see that they are producing money with what they already have," Marwan Semaan adds. "There is a worry within the organization that something will go wrong if they try to alter it."
Fujitsu discovered that the main barriers to cloud adoption within an organization are usually concerns about security, a lack of budget or concerns about escalating costs, legal and regulatory constraints, a shortage of cloud skills, and culture in a survey of 750 business and IT leaders across Western Europe.
Cloud Computing: From Nice-To-Have To Must-Have
According to a recent Fujitsu survey, 75% of respondents feel digital transformation is critical to their company's survival, and 69% say COVID-19 has advanced their digital transformation plan. More than three-quarters (78 percent) feel the epidemic has necessitated cloud investment. 17 This is supported by a VMware study, which found that many Chief Experience Officers (CXOs) are readjusting 2030 transformation plans to begin in 2021.
Download to read the full whitepaper by Fujitsu to understand why it's crucial for Western Europe needs to build cloud strength.