aster.cloud aster.cloud
  • /
  • Platforms
    • Public Cloud
    • On-Premise
    • Hybrid Cloud
    • Data
  • Architecture
    • Design
    • Solutions
    • Enterprise
  • Engineering
    • Automation
    • Software Engineering
    • Project Management
    • DevOps
  • Programming
    • Learning
  • Tools
  • About
  • /
  • Platforms
    • Public Cloud
    • On-Premise
    • Hybrid Cloud
    • Data
  • Architecture
    • Design
    • Solutions
    • Enterprise
  • Engineering
    • Automation
    • Software Engineering
    • Project Management
    • DevOps
  • Programming
    • Learning
  • Tools
  • About
aster.cloud aster.cloud
  • /
  • Platforms
    • Public Cloud
    • On-Premise
    • Hybrid Cloud
    • Data
  • Architecture
    • Design
    • Solutions
    • Enterprise
  • Engineering
    • Automation
    • Software Engineering
    • Project Management
    • DevOps
  • Programming
    • Learning
  • Tools
  • About
  • Computing
  • Design
  • Engineering

How To Succeed With Cloud Computing During An Economic Downturn

  • aster.cloud
  • April 27, 2023
  • 4 minute read

Many say to cut cloud spending in a slowing economy, but it’s not that simple. Use these strategic moves to position yourself to lead the recovery.

I’m starting to see articles in the business press calling for a downturn in cloud spending since the economy is likely to slow down. I’m always a bit skeptical of predictions that if something bad is happening or will happen, then we need to do X and Y. In most cases this means layoffs ahead of the actual slowdown, and budget cuts that kill business momentum. If most companies are reacting this way, why shouldn’t we? 


Partner with aster.cloud
for your next big idea.
Let us know here.



From our partners:

CITI.IO :: Business. Institutions. Society. Global Political Economy.
CYBERPOGO.COM :: For the Arts, Sciences, and Technology.
DADAHACKS.COM :: Parenting For The Rest Of Us.
ZEDISTA.COM :: Entertainment. Sports. Culture. Escape.
TAKUMAKU.COM :: For The Hearth And Home.
ASTER.CLOUD :: From The Cloud And Beyond.
LIWAIWAI.COM :: Intelligence, Inside and Outside.
GLOBALCLOUDPLATFORMS.COM :: For The World's Computing Needs.
FIREGULAMAN.COM :: For The Fire In The Belly Of The Coder.
ASTERCASTER.COM :: Supra Astra. Beyond The Stars.
BARTDAY.COM :: Prosperity For Everyone.

As you may recall, we most recently went through this with the pandemic. Technology companies and enterprises alike prepared for economic Armageddon, including much the same things we’re seeing now, including proactive layoffs, spending cuts, and destitute sales forecasts.

Although some things did suffer, the cloud computing sector was not one of them. Demand for cloud computing exploded as businesses sought to leave data centers (some of which were quarantined) for the relative safety of public cloud providers that could also support remote workers. Many businesses were caught with their pants down and could not shift into aggressive cloud mode, thus hurting or killing the business.

My point is not that we won’t see a slowdown—it’s inevitable. Only that the way we should respond with cloud spending, and cloud growth specifically, is sometimes decoupled from the economy and even enterprise revenue. There’s no “obvious way” to respond to a downturn when it comes to technology spending, certainly cloud computing.

Read More  Solving The Serverless Cloud Cost Conundrum

Here are a few things to think about before you start throwing people and cloud projects overboard.

Cutting cloud costs does not mean cutting cloud

Follow my logic here. One of the things we found out last year is that most enterprises are actually overspending on cloud computing due to their inefficiencies of cloud usage, not because they are overusing resources. Cloud resource utilization has not been managed well, and we’re spending about 2.5 times more than we need to spend.

Why not establish finops mechanisms, processes, and policies that solve the cost utilization issues? Reducing spending and increasing cloud resource utilization means using more cloud, not less. You’ll get much more value out of the cloud dollars that you do spend and you’ll increase the use of cloud-based resources. Of course, this means spending in other areas, such as finops programs; however, money spent there will likely come back to the business 20-fold. I’ll make those investments all day.Nominations are open for the 2024 Best Places to Work in IT

Take advantage of the talent now available

This is even more counterintuitive: “Okay, we’re going to make less money this fiscal year. Let’s hire more cloud talent.” How does that work?

The price of good cloud talent has skyrocketed in the past few years, largely due to the pandemic, which caused an explosion in the use of cloud computing and the need for cloud skills. We’re still living in a seller’s market when it comes to cloud skills, even if there is a downturn. Now, there are more skills on the street thanks to layoffs from other enterprises and technology companies.

Read More  Digging Your Own Digital Grave: How Should You Manage The Data You Leave Behind?

A downturn is normally temporary, so it’s a great time to bank some of the skills you needed but could not find, even paying full price. Also, keep the more talented people in your company; don’t push them out due to some shortsighted decisions.

There is plenty of work to do. Put them on planning or special projects if needed. Build what many enterprises are missing, such as a finops program, systems migration and modernization, multicloud management strategy and technology stack, getting the data mess under control, etc. All these efforts will reduce costs and increase efficiency.

When the economy does come back, you won’t be scurrying around attempting to rebuild your cloud team. You will have made major strides to build a team and create strategic technology layers that can make the business even more effective going into a recovery.

Playing 4D chess with your cloud strategy

Of course, there are dozens of other things to consider when looking at strategic opportunities in a market downturn—way more than I can list here. The core issue is to sell the board and leadership on zigging when others are zagging. A willingness to follow the crowd is an indication that your team is perhaps not as clever or strategically intuitive as they should be, certainly in a market that will value innovation and doing uncomfortable things.

Those who are clever, are not afraid of downturns, and look for opportunities during changing times will likely drive the market’s recovery. Change can be good or bad, depending on who you are and what you do. Just following the trends and the masses will put you out of business quickly. You need the courage to think differently.

Read More  Data Considerations For Early-Stage Startups

By: David Linthicum
Originally published at InfoWorld

Source: Cyberpogo


For enquiries, product placements, sponsorships, and collaborations, connect with us at [email protected]. We'd love to hear from you!

Our humans need coffee too! Your support is highly appreciated, thank you!

aster.cloud

Related Topics
  • Strategy
You May Also Like
View Post
  • Computing
  • Multi-Cloud
  • Technology

Pure Accelerate 2025: All the news and updates live from Las Vegas

  • June 18, 2025
View Post
  • Computing
  • Multi-Cloud
  • Technology

‘This was a very purposeful strategy’: Pure Storage unveils Enterprise Data Cloud in bid to unify data storage, management

  • June 18, 2025
View Post
  • Computing
  • Multi-Cloud
  • Technology

What is cloud bursting?

  • June 18, 2025
View Post
  • Computing
  • Multi-Cloud
  • Technology

There’s a ‘cloud reset’ underway, and VMware Cloud Foundation 9.0 is a chance for Broadcom to pounce on it

  • June 17, 2025
View Post
  • Computing
  • Multi-Cloud
  • Technology

What is confidential computing?

  • June 17, 2025
View Post
  • Computing
  • Multi-Cloud
  • Technology

Oracle adds xAI Grok models to OCI

  • June 17, 2025
View Post
  • Computing
  • Multi-Cloud
  • Technology

Fine-tune your storage-as-a-service approach

  • June 16, 2025
View Post
  • Computing
  • Multi-Cloud
  • Technology

Global cloud spending might be booming, but AWS is trailing Microsoft and Google

  • June 13, 2025

Stay Connected!
LATEST
  • 1
    Pure Accelerate 2025: All the news and updates live from Las Vegas
    • June 18, 2025
  • 2
    ‘This was a very purposeful strategy’: Pure Storage unveils Enterprise Data Cloud in bid to unify data storage, management
    • June 18, 2025
  • What is cloud bursting?
    • June 18, 2025
  • 4
    There’s a ‘cloud reset’ underway, and VMware Cloud Foundation 9.0 is a chance for Broadcom to pounce on it
    • June 17, 2025
  • What is confidential computing?
    • June 17, 2025
  • Oracle adds xAI Grok models to OCI
    • June 17, 2025
  • Fine-tune your storage-as-a-service approach
    • June 16, 2025
  • 8
    Advanced audio dialog and generation with Gemini 2.5
    • June 15, 2025
  • 9
    A Father’s Day Gift for Every Pop and Papa
    • June 13, 2025
  • 10
    Global cloud spending might be booming, but AWS is trailing Microsoft and Google
    • June 13, 2025
about
Hello World!

We are aster.cloud. We’re created by programmers for programmers.

Our site aims to provide guides, programming tips, reviews, and interesting materials for tech people and those who want to learn in general.

We would like to hear from you.

If you have any feedback, enquiries, or sponsorship request, kindly reach out to us at:

[email protected]
Most Popular
  • Google Cloud, Cloudflare struck by widespread outages
    • June 12, 2025
  • What is PC as a service (PCaaS)?
    • June 12, 2025
  • 3
    Crayon targets mid-market gains with expanded Google Cloud partnership
    • June 10, 2025
  • By the numbers: Use AI to fill the IT skills gap
    • June 11, 2025
  • 5
    Apple services deliver powerful features and intelligent updates to users this autumn
    • June 11, 2025
  • /
  • Technology
  • Tools
  • About
  • Contact Us

Input your search keywords and press Enter.