In a recent report conducted alongside Forrester Research, integration and automation leader Boomi uncovered startling insights into global companies' challenges in managing their cloud expenditures effectively. The findings highlight a pervasive problem: poor architectural visibility leading to cloud cost blowouts.
The Landscape of Cloud Cost Challenges
The study examines 420 decision-makers globally and uncovers the nuanced difficulties of implementing effective CCMO strategies. Despite a broad acknowledgment of CCMO’s importance — especially at the early stages of solution architecture — a striking gap exists between recognition and action.
Only a fraction of respondents have integrated cost management measures from the outset, emphasising a reactive rather than a proactive approach to cloud cost management. This scenario is further complicated by the hurdles in cloud data management, where the inadequacy of current tools makes expense tracking a daunting task.
Egress fees have notably become a contentious issue, although moves by major cloud providers to eliminate these fees for exiting clients signal a shift towards more transparent cost structures.
The study also predicts an intensification of cloud cost management challenges spurred by increasing IT demands, adopting hybrid work environments, and utilising software creation platforms.
Emerging FinOps tools designed to clarify cloud spending have yet to meet expectations, leaving many organisations in the dark regarding cloud finance management.
Integration as a Pathway to Cost Efficiency
Amid these challenges, Integration Platform as a Service (iPaaS) has been identified as a promising avenue for mitigating cloud expenditures.
With 67% of survey participants advocating for iPaaS as a means to rein in costs, the emphasis on integration underscores its potential to offer a holistic view of cloud expenses.
In a media release, Ed Macosky of Boomi articulates the essence of integration in cloud cost management. He reveals that organisations only capture a fragment of their cloud expenditure without a comprehensive integration strategy, impairing their ability to make informed decisions.
This trend is reflected in Gartner’s analysis, which positions iPaaS as the fastest-growing segment within enterprise software for 2022. In a market bustling with key players like Informatica, Microsoft, MuleSoft, Oracle, SAP, Workato, and Boomi, the competitive landscape underlines the increasing valuation of iPaaS solutions.
Through streamlining cloud services and fostering an environment conducive to cost efficiency, iPaaS stands as a beacon for enterprises navigating the complex waters of cloud cost management.
