NetApp, a global data-centric software company, released the 2023 Data Complexity Report that explores the growing need for united data storage across industries. The 2023 report was compiled in collaboration with Wakefield Research, a leading market research firm. Data for the research was collected from over 1000 C-level executives, data engineers, admins, and other relevant professionals from businesses around the world.
Cloud Adoption
One of the key findings of the report was that 98 percent of organizations globally are in the middle of migrating workloads to the cloud. with three out of four reporting considerable workloads still stored on-premises.
India and Japan are leading the way with 84 percent and 80 percent respectively mid-journey or mature in their cloud migration. The U.S. and France are lacking in their cloud migration with only 66 percent and 68 percent respectively mid-journey or mature in migrating workloads to the cloud.
AI Acceleration
The rate of AI adoption is high with 72 percent of companies already using generative AI. Tech executives (39 percent) believe that their top need for innovation is to optimize AI performance, cost, and efficiency.
Cloud technology remains the major enabler for AI adoption with 74 percent of executives reporting use public cloud for AI and analytics. The U.S. and the U.K. are leading the way for the use of public cloud at 81 percent and 75 percent respectively.
While AI adoption is growing, some key challenges remain. The top three barriers to AI acceleration include data security (57 percent), data integration (50 percent), and scarcity of talent (45 percent). To help overcome some of these challenges, nearly two-thirds of companies (65 percent) believe they need to engage new storage vendors for AI.
More than one-third of tech executives believe they need Flash innovation to optimize AI/ML performance, reduce costs, and create efficiencies. In addition, more than 3 in 5 companies are adding new budgets for investments in AI, while 2 in 5 companies are reallocating budgets for existing initiatives.
Data Security
With the rise in cyber threats around the globe, a major concern for organizations is company downtime. Interestingly, the speed of data recovery ranks as a top priority globally, even more important than protection against cyber threats.
A high percentage of global tech executives (40 percent) believe that data privacy and data security are the primary causes of complexity in their storage infrastructure. Data privacy is a top cause for concern in Germany, France, and the U.K., while data security ranks the highest in India and Japan.
“Cyberattacks are only intensifying and C-Suite and board-level executives recognize the critical need to both protect against these attacks while being prepared to recover from ransomware should one succeed,” said Jeff Baxter, Vice President of Product Marketing at NetApp. “While ransomware protection requires a cyber-resilient full-stack architecture, leaders are increasingly demanding storage vendors that offer guarantees for recovery of data after a ransomware attack.”
Sustainability
Sustainability is a top concern for tech executives with 83 percent citing it as a critical deciding factor when evaluating storage vendors. A high share (42 percent) of C-suite leaders believed it was extremely important to decrease carbon footprint.
The sustainability concerns are higher for larger organizations. More than half of the respondents recognize reducing carbon footprint is vital to responsible AI, and Flash innovation is a critical part of the solution. Organizations also recognize that efficient hardware and software can help reduce energy and carbon footprint.
Report Highlights Innovation is Driving A Need For Unified Storage
The findings of the 2023 NetApp Data Complexity Report show that the impact of AI on buying decisions and expectations for innovation is undeniable. Flash innovation is going to play a key role in optimizing AI performance. Leaders in every market rank AI-driven autonomous operations as the place where they want to see the most innovation. Other top priorities include storage refresh simplification and vendor storage as a service.
“Insights from NetApp’s report underscore the need for unified and modernized enterprise storage solutions in the age of rapid digital transformation. Rising security threats and pressure to reduce energy and carbon emissions, coupled with the urgency to adopt new innovations like AI make IT more complex than ever. Leaders need holistic solutions that address these challenges and enable new technologies to thrive across hybrid IT environments.” – Sandeep Singh, Senior Vice President and General Manager of Enterprise Storage at NetApp.
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