Still a Need for On-premises Products
And there will remain a need for on-premise solutions as enterprises continue to wrestle with security concerns in the public cloud, according to the report. The research shows approximately 24 percent of companies have moved applications back to on-premise systems after an initial cloud transition.
"There's still room for on-premises solutions, which will be another area for competition," Robinson says. "Once businesses make that first move to the cloud, we find they often make secondary moves back to on-premise because of security and reliability concerns - so they end up with a hybrid model, with some applications residing in a public cloud and some in on-premise solutions," he says.
CompTIA's research cites security concerns as the major reason for enterprises' backtracking, indicating that the most sensitive applications will remain on-premise for the foreseeable future.
"That's a major boon for these large providers who maintain an investment in legacy systems," Robinson says. "It gives them numerous product channels and options to keep and gain new customers and help them make the transition to the cloud."
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