UK Companies Reevaluate Public Cloud Commitment

The geopolitical landscape is nudging IT leaders in the UK to be more cautious with American cloud services. Research from Asanti shows a whopping 95% of executives are fretting over data sovereignty and residency. As a result, over half are exploring ways to reduce reliance on US providers. Among those already in the cloud, 45% are seeking jurisdictional limits due to political shifts.

“The game has changed,” remarks Stewart Laing, CEO of Asanti. “The priority now is trust and control over the traditional focus on performance and cost.” However, money talks too. More than 75% report their cloud expenses exceeded expectations, and migration isn’t a piece of cake.

Challenges arise when companies try moving back to on-premises solutions, citing issues like control, customization, poor data transfer rates, and compliance headaches. Surprisingly, two-thirds wish they had kept some operations local or gone hybrid, especially with AI needs on the rise demanding more data resources.

Cloud Repatriation: Not a Walk in the Park

Getting off the cloud is no easy feat. Of those aiming for repatriation, 38% struggle with the complexity of restoring systems internally. Restrictive contracts and vendor lock-in complicate matters further for 36% of companies, and 41% lack the internal savvy to pull it off smoothly.

While cloud services haven’t lost their charm, there’s a collective wish for more due diligence before migrating. Half believe external consultancy could have helped, while 45% regret not fully understanding provider terms. Four in ten wish they’d been more thorough internally.

“Cloud tech is amazing, but it’s not perfect,” says Laing. He underscores the need for UK businesses to rethink their hosting strategies, especially as AI demands and regulatory pressures mount.

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