INDUSTRY REPORT

2022

State of Multicloud

A CIO's Guide to the Underlying Dynamics Fueling Digital Transformation & Multicloud Strategies

Our Lens on Leaders

Throughout this report we analyze the data by comparing “leaders” versus those “on par with the majority” versus “laggards.” We asked respondents to self-identify based on the question: “When it comes to leveraging new technologies to advance business goals, my organization is:” Viewing the data through this lens allows us to see what’s important for leaders and should perhaps be considered by their peers.

Graph from 2022 State of Multicloud Report

Contents

01: Sustainability
02: Labor Shortage
03: Multicloud Motivations
04: Application Modernization
05: Cloud Adoption
06: Container Adoption
07: Serverless Adoption

Report Highlights

Preface

Technology choices are never made without tradeoffs. In this fourth installment of this annual report, we continue our efforts to capture the current state of multicloud, as well as the motivations. We believe that aiming to understand the broader aspirations of where we collectively want to be, gives us the context to better understand why people make the choices they make. However, if in 2022 we are talking about where we want to be without an understanding of the environmental impact of the technologies we use to do it—often overuse, if we’re being honest with ourselves—then we continue to miss our existential tradeoff.

We are a mere eight years away from when current estimates predict that global carbon emissions must be halved by 2030 to limit warming to 1.5°C and avoid catastrophic climate change. New to the report this year is the extent to which sustainable IT is being prioritized and executed upon. The good news is that most organizations are indeed recognizing environmental sustainability and climate resiliency as important, and nearly half are doing something real about it. In the coming years we will expand our analysis and trending on this subject because our ongoing digital transformations must have line of sight to its lasting impacts on future generations—those that will never use your new app or service, but who will build the things we can only begin to imagine today.

Last year, we noted that constraints are a reality, but resigning ourselves to the status quo need not be. Pushing through barriers, however incrementally, and solving the hard problems—that requires imagination from all of us. This year we amend that: it also requires action. If we’re not convinced by the increasing number of conscientious consumers and investors, as well as governments and regulatory agencies leaning in, then consider the increased frequency and severity of the weather right outside our doors.

IT is in a unique position to lead and have a real impact. Let’s seize it together.

01: Sustainability

78% of organizations overall—and 89% of leaders—recognize that environmental sustainability and climate resiliency is important.

Overall, 78% of organizations recognize that environmental sustainability and climate resiliency is important, with 45% executing against a strategy and goals. Among leaders, these numbers jump up to 89% and 57% respectively.

It is difficult to ignore impact of climate change as increasingly severe weather patterns disrupt our daily lives more frequently. The pressure on businesses to operate in a more environmentally sustainable way is increasing across multiple stakeholders: consumers, investors, shareholders, board members, and governments. Consumers arguable play the most important role, their preferences shaping markets and governments. A recent study by IBM found that 80% of consumers indicate sustainability is important to them and 60% are willing to change their shopping habits to reduce environmental impact. Due to this pressure, 62% of executives consider having a sustainability strategy essential to be competitive in the future and another 22% think it will be a requirement.(Source: Rise of the Sustainable Enterprise)

Question: What is your IT organization’s environmental sustainability and climate resiliency strategy?

Overall: 2022
Graph from 2022 State of Multicloud Report showing IT organization's sustainability plans
Leaders vs. Laggards: 2022
Leaders vs. Laggards in Sustainable IT Strategy

57% of leaders are executing against a sustainability & climate resiliency strategy.

The percentage of organizations that acknowledge the importance of sustainability but are still only exploring how to develop and execute on a strategy is fairly consistent across laggards (35%), those on par with the majority (34%), and leaders (32%). The differences come to light when looking at whether these types of organizations are executing against a strategy and goals.

Leaders vs. Laggards: 2022—Executing against an environmental sustainability and climate resiliency strategy.
Graph showing IT organizations executing against a sustainability strategy

Download the Full Report

01: Sustainability
02: Labor Shortage
03: Multicloud Motivations
04: Application Modernization
05: Cloud Adoption
06: Container Adoption
07: Serverless Adoption