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IBM Makes a $1 Billion Investment in the Cloud Ecosystem

IBM is synonymous with the cutting edge of technology across the world. One of the company’s newest interests is cloud computing and hosting. The cloud ecosystem, which includes cloud technology, hosting, and many other services, is growing year to year. The COVID-19 pandemic and the world’s push to a more remote, digital workforce sped up that growth exponentially. Because of this, IBM CEO Arvind Krishna sees now as the perfect time to invest in cloud technology. In fact, IBM will invest $1 billion into the rapid expansion of their cloud offerings to ensure the technology is at the forefront of all future endeavors.

IBM’s Decision to Invest Further into the Cloud Ecosystem

IBM is far from a newcomer to the world of cloud hosting and computing. They have a cloud ecosystem that offers many businesses the ability to use digital workstations, take advantage of cloud servers and data storage, and utilize AI and IT support to keep their mobile work safe and secure. On a fourth-quarter earnings call, Krishna notes that this investment in the cloud is to “accelerate consumption” of the cloud platform for IBM. The CEO adds, “we are also rapidly expanding our ecosystem by adding hundreds of new partnerships with global system integrators, independent software vendors, and major third-party software partners, and also elevating the role of partners.”

The decision to invest such a huge sum of funding into the cloud makes sense. Cloud computing and hosting is here to stay, and IBM has the infrastructure and resources to become one of the biggest cloud providers on the market. The investment allows IBM to bet on their partner ecosystem in a big way and bring on new partners in the process.

Future Plans for the Cloud

Now is a scary time for any business to invest more into their operations. With the COVID-19 pandemic wreaking havoc on every industry in the world, funding and budgets are in limbo as we pass the one-year mark since the virus debuted in Wuhan, China. Still, the power of cloud hosting and computing is evident. As many offices moved to remote operations this past year, a good portion of them continues to work in this way. That’s because remote workforces are proving to be a benefit to companies, not a detriment like some assumed.

The question of productivity is always a concern when you consider moving your operations to a remote, mobile setting. Plus, getting everyone the technology they need to work from home can sound costly. Luckily, cloud computing allows traditional office elements like data servers, workstations, access to files and applications, and more to exist virtually. Questions of security and safety regarding sensitive information are also addressed thanks to cloud computing’s focus on IT support and encrypted access points.

Cloud computing likely hosts more security features than the traditional office set-up as is. An investment in the cloud might sound scary now with so much financial uncertainty, but like Krishna notes, “there is only so long that you can belt-tighten and not come out worse.” Rather than worry about cutting costs, companies can use the fluidity of today’s market and economy to invest more efficiently in operations rather than look to see what can be abandoned.

The Cloud’s Infinite Possibilities

IBM manages a $19 billion operation when it comes to its infrastructure business. The investment of $1 billion into cloud hosting technology and other applications is no small sum. The investment, however, will help transform the company into a top provider for cloud services to major companies. Believe it or not, many companies still lack the latest cloud computing capabilities. Like any business, even the biggest corporations find a way to make things work and stick with it. The roller coaster of 2020 proved to many, however, that now is not a time for complacency. Instead, it’s the right time to reassess the present and future of your business.

The future operations and goals of your business might vary, but one thing is certain. Cloud hosting and virtualization are here to stay. Not only that, but the services are getting stronger, more reliable, and providing more businesses with the ability to reap the rewards of cloud computing than ever before. If 2021 seems like the year for change in your organization, then cloud computing is a great place to start. As more providers like IBM expand their offerings, you have access to more options as well.

The cloud ecosystem could mean big things for the new year, and even bigger things moving forward. Take the time now to assess if you’re making the most of the technology to set yourself up for a brighter tomorrow.

Contact IT Vortex for any of your Hosted Cloud Services and/or Managed IT Services today!

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