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9 in 10 enterprises planning data centre investment, report claims

A new report suggests that far from ditching their on-premise IT in favour of cloud and colocation services, the majority of organisations in North America and Europe will be spending more on their data centres this year.

According to the 451 Research second-quarter survey of data centre investment trends, a copy of which was seen by Computer Weekly last week (July 1st), almost nine in ten medium-sized to large enterprises (87 per cent) across the two regions will either maintain or increase their on-premise IT budgets over the rest of 2015.

Dan Harrington, director of the research firm, told the publication that much of this spending will go towards refurbishing existing sites rather than building new ones, with two in five (37 per cent) of respondents saying they plan to upgrade or retrofit their data centres to unlock greater efficiency.

However, he also pointed to a trend of consolidation, with many enterprises looking to shut down smaller facilities as they establish “a central, more premium data centre space” for their operations.

“To support growing business demands on IT, enterprises are freeing up budgets and investing in modernising neglected data centre facilities,” Mr Harrington said.

Last month, a survey from Easynet showed that more than a quarter (26 per cent) of large organisations in Europe rely on on-premise IT for the majority of their hosting needs. In contrast, just 11 per cent had switched to using mainly public cloud services.

It also showed that most in-house data centres have been modernised to use virtualisation – boosting server utilisation, but introducing new data recovery challenges when hardware and software fails.

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From:: http://www.krollontrack.co.uk/company/press-room/data-recovery-news/9-in-10-enterprises-planning-data-centre-investment,-report-claims546.aspx

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