Cassandra Mooshian cloud practice analyst at Technology Business Research

Cassandra Mooshian, cloud practice analyst at Technology Business Research.

Report: Private Cloud Adoption Shifting to Self-Built Clouds

A new report from Technology Business Research shows a shift in private cloud buying behavior, with more enterprises opting to build their private clouds themselves. Here's what the research firm found.

Technology Business Research (TBR) has released a new report that shows a shift in how enterprises are adopting private clouds. According to the report, there's a shift towards adopting self-built private clouds over third-party-delivered private clouds.

The stats, which are for the second half of 2014, are "a minor but telling shift" from the first half of the year. The report indicated that during the second half of the year, 65 percent of private clouds are delivered by third parties, whereas 35 percent are self-built. Contrast that to 70 percent and 30 percent, respectively, in the first half, as well as in 2013.

Although TBR analysts believe that the private cloud adoptiong rate will reach 85 percent by 2018, the research firm also noted that private cloud budgets have declined year-over-year in dollar value and a percentage of cloud spend in the second half of 2014. According to TBR, the reason is the proliferation and growing popularity of public cloud services.

"Expectations around the benefits of private cloud adoption are becoming more realistic as the market matures. Cloud buying behavior has become less collaborative over the past six months, with IT regaining control of cloud decisions, leading to an influx of infrastructure workload adoption," said Cassandra Mooshian,  a cloud practice analyst at TBR, in a prepared statement.

The study also showed that security is the top customer-perceived barrier to the adoption of private cloud services and infrastructure. Other top barriers included integration for third-party-delivered private cloud customers and usage monitoring for self-built private cloud customers.

"Security remains the driving force behind cloud vendor adoption, while the emerging trends of hybrid IT and analytics, and the associated security complications they bring to the table, foreshadow steady and growing demand for cloud professional services over the next few years," Mooshian said.

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