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The Perfect Storm: How Enterprises Will Rethink Cloud Strategy in 2025 | by Liza Podkamenna | Major Digest | Jan, 2025

The Perfect Storm: How Enterprises Will Rethink Cloud Strategy in 2025 | by Liza Podkamenna | Major Digest | Jan, 2025

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ARTIFICIAL INTELLIGENCE

Generated using the Flux AI model.

The year 2025 promises to be a transformative time for enterprises when it comes to their cloud strategy. As generative AI models continue to grow in computational demands, traditional cloud deployments are struggling to keep up.

According to Gartner’s projections, enterprise AI workloads will consume more than 30% of total cloud infrastructure capacity by 2025. This increased demand has put a spotlight on public cloud costs, which have become a major headache for CFOs. The “lift-and-shift” approach of the past decade has created massive technical debt, with companies spending two or three times what they initially budgeted for cloud services. The pleas from boards of directors, CEOs, and CFOs to figure out why IT is overspending on public cloud resources are becoming more frequent.

Investors Driving Demand

Smart money is no longer buying into the “all-in on public cloud” story. Instead, they’re posing challenging questions regarding hybrid cloud architectures, integration of edge computing, cloud-native optimization patterns, and the possibility of returning workloads to on-prem environments.

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