The report that was referenced, which was released by Barclays in April, showed that both workloads and IT dollars have been shifting to the public cloud over the past few years and will continue to do so. That’s because companies are seeing reduced operating costs, increased flexibility, and better ease of use, Barclays said. In addition, hyperscalers like AWS and Azure have been offering more compliance, regulatory and security features, Barclays said. According to the company, the total percentage of workloads running in the public cloud has risen from 28% in 2022 to 42% in 2024.
Other researchers are reporting similar trends. A workload repatriation report released by IDC in June found that 80% of companies expect to see some level of repatriation of compute and storage resources in the next 12 months.
But “some” is the operative word. Fewer than 10% of companies had repatriated entire workloads.
And according to a Flexera survey released this past March, 73% of companies have a hybrid cloud strategy, 15% use multiple public clouds, 10% use a single public cloud – and only 3% use solely private clouds. Meanwhile, 63% of companies have accelerated their cloud migration over the past 12 months, with AI being a top driver, according to a Foundry survey released in August.
So, VMware is sailing against the wind here.
Still, at the show, Broadcom emphasized the catalog of private cloud services available through its VMware Cloud Foundation platform, including security, container operations, disaster recovery, edge orchestration, and, of course, private AI.
