According to VMware’s ‘Private Cloud Outlook 2025’ report, nearly half of IT decision-makers think that more than 25% of their cloud spending is wasted, with about one-third indicating that the waste exceeds 50%. Analysts attribute the excessive cloud costs to cultural issues within development and IT departments. Experts advise organizations to shift their perspective on cloud investments and take a more critical approach towards contract terms to significantly reduce this waste.
The report, which surveyed 1,800 senior IT decision-makers globally, highlights that siloed structures within organizations complicate cloud management, making it difficult to maintain visibility, control, and governance in public cloud environments. Rob Tiffany, IDC Research Director, notes that relationships with vendors also heavily influence cloud spending issues. He points out that some CIOs adopt a passive attitude towards contracts with vendors like AWS or Google, believing they can neglect oversight once the deal is signed.
To combat cloud spending issues, Tiffany emphasizes the importance of integrating FinOps tools into daily operations. He notes that many organizations do not adequately utilize these tools to monitor wasted resources. Moreover, the absence of chargeback clauses in contracts poses a risk. While some companies have adopted FinOps tools, Tiffany highlights that insufficient access prevents effective monitoring. Ultimately, a cultural shift is necessary in IT and development teams to enable proper accountability and oversight of cloud expenditures.
👉 Pročitaj original: CIO Magazine
