A new report found AI and Generative AI (GenAI) to be the primary catalyst in cloud investments across key industries. The report revealed that over half (54 per cent) of surveyed organisations are channeling their cloud investments towards AI-driven initiatives, with the banking, manufacturing and retail sectors leading the charge.
In the banking and financial services sector, 62 per cent of respondents identified AI as the top driver of their cloud strategies. This sector’s adoption of public cloud services is particularly noteworthy, with 65 per cent of organisations now using public cloud environments.
This is a noted shift in the industry, which has traditionally been cautious about cloud adoption due to security concerns, as per the Wipro FullStride Cloud report. The increased reliance on public cloud services indicates a growing confidence in their security protocols.
Manufacturing is also experiencing a decent uptake in AI-driven cloud investments, with 61 per cent of organisations prioritising AI as they transition to more advanced cloud environments. The sector’s focus on AI is driven by the need to enhance operational efficiency and maintain a competitive edge in a rapidly evolving market. Manufacturers are increasingly adopting hybrid and multi-cloud strategies, combining on-premises infrastructure with public cloud services to integrate legacy systems, ensure data sovereignty and optimise costs.
“The importance of an effective cloud strategy is only amplified with the increasing focus on AI. The cloud’s scalability and processing power are critical in holding and managing the huge volumes of reference data required by AI. As such, cloud investment decisions are increasingly being driven by the need to support AI,” said Jo Debecker, Managing Partner and Global Head of Wipro FullStride Cloud.
In the retail sector, 55 per cent of respondents cited AI as the main impetus behind their cloud investments. Retailers are leveraging AI to improve customer experiences, streamline operations and adapt to changing consumer behaviours. The adoption of hybrid cloud environments is particularly strong in this sector, as retailers seek the flexibility to manage data across multiple platforms while avoiding vendor lock-in.
Across these sectors, the shift towards hybrid and multi-cloud strategies is becoming more pronounced. Hybrid cloud is the most widely used, with 60 per cent of organisations adopting it, followed by public cloud at 47 per cent and multi-cloud at 42 per cent.
The report mentioned that more than half of the organisations are increasing their investments in hybrid (54 per cent) and public (56 per cent) cloud environments, driven by the need for flexibility, security and the ability to leverage the unique strengths of different cloud providers.
“As enterprises rethink their infrastructure to reap the benefits of AI, they are also seeing increased value in adopting a cloud economics approach. Our survey shows that as data migration and the adoption of AI-related applications increasingly drive cloud investment, unified cost management strategies are also growing in importance,” added Debecker.
