One in all Microsoft’s most senior cloud executives claims he has “not seen organizations gradual their efforts to maneuver software program applications to the cloud prior to now few months”.

Scott Guthrie, who serves as EVP of Microsoft’s Cloud and AI division, informed CNBC that he isn’t “seen the present scenario trigger individuals to pause cloud”.

Clients shopping for extra public cloud companies will virtually definitely be a spot of fine fortune for Microsoft’s cloud internet hosting operation; 80% of enterprises are already utilizing Microsoft Azure in some type, in response to Flexera’s newest State of the Cloud report (opens in new tab).

What’s driving adoption?

Guthrie mentioned that the steep rise in power prices could also be pushing individuals in direction of cloud computing, in the identical means that the preliminary onset of the pandemic and the transfer in direction of hybrid working did. 

“Are we seeing individuals speed up to the cloud due to the power disaster? I believe the reply is certainly sure,” he informed CNBC.

“If you concentrate on the present scenario in Europe proper now, the place the power costs are going up dramatically, if you happen to can cut back your workloads on-prem, and you may transfer it to our cloud rapidly, you possibly can cut back the facility draw you want and that interprets into actual financial financial savings.” 

Guthrie definitely is not the one Microsoft govt who appears to be fairly assured in the way forward for Azure. Microsoft’s finance chief, Amy Hood, informed analysts to count on Azure’s income to develop a wholesome 43% in fixed foreign money throughout the second quarter 2022.

And it is not simply Microsoft that’s taking an optimistic view on how power prices will influence the way forward for IT pending. 

Spiceworks Ziff Davis’ 2023 State of IT report (opens in new tab) discovered that 51% of the businesses mentioned that they might improve their IT budgets in 2023, regardless of 83% saying they’re involved a couple of potential recession within the subsequent 12 months, highlighting power prices as one of many causes for this.

• Trying to transfer away from on-prem options to avoid wasting power? Try our information to the most effective cloud storage

By way of CNBC (opens in new tab)