Tata Consultancy Services (TCS) latest survey of senior business leaders worldwide, ‘Connected Future: How Cloud Drives Business Innovation’ reveals that cloud remains a long-term investment priority for 70 percent of major corporations, despite current macro headwinds and the recent slowing of growth of global cloud providers, the company announced today through an exchange filing.
The global survey of 972 senior executives reveals that innovation is a major driver of cloud investment, with 59 percent reporting that cloud is crucial as a catalyst for innovation for their organization’s future.
This appears particularly true for artificial intelligence (AI) as 75 percent of respondents invested in AI and machine learning capabilities over the past two years, while 78 percent plan to do so over the coming 12-24 months. Both technologies are highly dependent on access to large amounts of data and scalability through cloud.
Interestingly, more than a third of respondents (37 percent) have made progress in their goals for cloud-enabled innovation in the form of new business models, underlining the growing power of cloud to drive new revenue.
In addition, the study also finds a clear majority of respondents of 67 percent are using cloud technologies to achieve sustainability goals. However, 43 percent report difficulty in understanding the carbon footprints of cloud service providers. This suggests that while most respondents see cloud as an important and thus far successful part of their sustainability strategy, and increasingly use cloud tools to assess their own carbon impact, they are now demanding the same visibility from their cloud service providers.
Overall, despite significant progress in recent years, the study reveals that businesses still have a long way to go to unlock the full power and potential of cloud.
“This latest global study strongly affirms that there is no business strategy without a cloud strategy. A desire for greater efficiency, resilience, and flexibility drove early cloud adoption, and these remain critical factors. Businesses now more fully understand how cloud drives business growth and innovation for the long-term, and for most, the journey is only just getting started," said Krishnan Ramanujam, President, Enterprise Growth Group, TCS
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The shares of TCS on Thursday at 12:13pm IST were at Rs 3,224.60, down by 0.81 percent.
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