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Densify Survey Reveals Misalignment between Public Cloud Usage and Application Needs is Costing Billions
[December 06, 2017]

Densify Survey Reveals Misalignment between Public Cloud Usage and Application Needs is Costing Billions


Densify, a leading predictive and real-time cloud optimization services company, today announced findings from a survey of cloud infrastructure professionals across global enterprise organizations. The survey revealed that, while the majority of organizations have budgeted spend for public cloud, most don't know how much their company spends monthly on these services. With most organizations using Amazon Web Services (AWS) and Microsoft (News - Alert) Azure for their public cloud needs, half of respondents indicated they don't know how to handle the frequent technology and pricing changes released by these providers.

With a focus on cutting cloud costs at its core, Densify fully understands the latest cloud provider technologies and prices. The company combines customer cloud workload usage patterns with its machine-learning analytics and proactively aligns customer needs with public cloud resources to recommend what changes to make and results to expect. For many organizations, as priorities arise and IT teams become overloaded, manual cloud optimization and alignment of cloud resource needs with budget becomes too complex and is often pushed aside. In fact, Densify's survey shows that about one-fourth of respondents don't audit (or don't know if their organization audits) their cloud usage and costs, and only 20 percent use some sort of automation tool to optimize infrastructure needs.

"In a market with very few major cloud providers, customers don't have many choices and simply continue to pay their high cloud bills without a second thought," said Yama Habibzai, chief marketing officer of Densify. "We've helped hundreds of companies optimize their clouds, with major reductions in their cloud bill, so we know that they are overspending."

<>Organizations think they are in control

The survey findings highlight the major issue with the cloud market: organizations are flying blind and paying their cloud bills without an understanding of how they are using or paying for the technologies. And yet cloud vendors have 50 percent of respondents convinced that this is normal. Key findings include:

  • Many organizations are spending significant amounts of money on public cloud usage, with half of organizations spending more than $300,000 per year and 20 percent spending more than $1.2 million per year.
  • Seventy-five percent overspend relative to their budget, or they simply don't know how much they are spending.
  • Only 50 percent believe that they are being charged the right amount for what they get in return.

But they are still trusting cloud providers more than they should


Very few respondents (five percent) distrust their cloud providers, likely because they don't know how to handle the complexity of these technologies themselves. In a world where the most critical enterprises like airlines and hospitals rely heavily on the cloud, the people that manage it admit that they don't have confidence in themselves. Additional findings include:

  • Thirty percent admit to not being well prepared to handle the technologies.
  • Fifty percent believe that they need automation to handle the vast complexity of their cloud and 70 percent admit to not having any optimization capabilities.

Because cloud providers provide value in the form of new technologies that are constantly released, automation is becoming a critical need for the market as a whole. Companies like Densify are delivering automation to help organizations use the latest technologies aligned with their usage and their cloud budget, without impacting their application performance.

To learn more about Densify's leading service for cutting cloud costs, try a two-week assessment for free and see how much your organization is overspending. The service is offered at www.densify.com/try.

About Densify™

Densify is leading the movement that is bridging the gap between the major public cloud providers who provide technology services that are too costly and confusing, and the thousands of companies that rely on them. Delivered completely as a white-glove service, Densify's patented technology uses machine learning analytics to learn workload usage patterns and make proactive recommendations for the purpose of using less infrastructure and lowering the organizations' monthly cloud bills with better performing applications.

For more information, visit www.densify.com or follow us on Twitter (News - Alert) @Densify.


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