Why hybrid cloud on premises is outpacing public cloud adoption: 5 insights

The cloud experience is evolving to take the form of a hybrid on premises solution as more organizations both inside and outside of healthcare look to curb costs and accelerate data innovation.

Panelists at Becker's Health IT + Revenue Cycle Virtual Event on Oct. 8 discussed why enterprises are moving to the hybrid model, which offers an in-house solution supported by a third party rather than sharing the same hardware, storage and network devices with other outside organizations on a public platform.

Presenters:

  • Steve Shim, executive healthcare strategist at Hewlett Packard Enterprise
  • Dave Twohy, vice president and general manager at Green Lake North America, HPE

Five insights:

1. Hybrid cloud are far surpassing other cloud strategies. Consultants, auditors and news media companies are reporting that hybrid cloud strategies far surpass other cloud strategies across all industries.  Mr. Shim shared that HPE recently reported 80 percent growth of their GreenLake on premises hybrid cloud service line, which now outpaces all other public cloud offerings. 

2. Seventy percent of the applications and data are still on premises with more moving to the edge. Mr. Shim said that technology companies such as HPE are responding to market demands and are bringing hybrid cloud services on premises to healthcare organizations to support core applications and growing demands at the edge such as image modalities, biomedical equipment and increasing Internet of Things demands.   

3. Most enterprises are operating in hybrid environment. About 84 percent of healthcare organizations have adopted a hybrid cloud platform, according to Mr. Twohy. In the last few years, enterprises moved applications from one place to hyperscalers like Amazon Web Services, Google Cloud and Microsoft Azure.

"Everybody has already moved to hybrid, so it's not a question of whether you're going to have different operating models because you probably already do," he said. "The question is, how do you get more efficient within that model?"

4. Benefits of on premises hybrid cloud. Implementing a hybrid cloud on premises can simplify operations and increase reliability of workloads. At his previous organization, Mr. Shim used HPE's GreenLake on premises hybrid cloud services to support the Epic EHR.  This enabled the organization to achieve unprecedented uptime and the ability to simply scale to address 40 percent increase in capacity and bed count. "It ultimately reduced our total cost of ownership and preserved cash, so we paid as we went," Mr. Shim said. "This is one of the most important drivers of why hybrid cloud is now advancing today."  

5. Now is the time to establish a unified hybrid cloud architecture. The opportunity is now to standardize and normalize how cloud enabled applications and legacy workloads that span from the edge, to on premises data centers and into the public cloud are supported.  Mr. Shim said that the cloud experience of increased efficiency, agility and economic value is achievable today and the pandemic has been the defining event driving unprecedented levels of adoption.

Click here to view a recording of the session.

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