Financial firms are increasingly turning to hybrid cloud

The cloud computing market
(Image credit: Pexels)

New research has revealed a major upcoming shift when it comes to hybrid cloud adoption among financial services sector businesses.

Despite observing a consistent year-on-year growth in the adoption of hybrid multicloud deployments, the findings from Nutanix predict a threefold increase in adoption over the next three years, hinting at the future landscape of the financial services sector.

The research claims data security, ransomware protection, implementing AI strategies and minimizing costs are among the key contributors to the upcoming growth of hybrid cloud adoption.

Hybrid cloud adoption

Alarmingly, almost all respondents (99%) reported experiencing a ransomware attack in the past three years, with a significant majority (89%) acknowledging the need for improvement in terms of enhancing their organizations' protection.

“It’s a sign of the times that hybrid multicloud adoption is set to triple as financial services users gear up for heightened cybersecurity risks as new regulatory requirements, such as the EU’s 2025 Digital Operational Resilience Act (DORA), go into effect - making data protection and disaster recovery a hybrid multicloud imperative," noted Lee Caswell, SVP of Product & Solutions Marketing at Nutanix.

Looking ahead, Nutanix says that finance service companies have not changed their priorities when assessing the suitability cloud providers. Flexibility, security, and data capabilities remain as important as they were last year. The study also notes the financial industry’s greater emphasis on sustainability and cost compared with other sectors.

Many financial enterprises cited data access performance, security, and regulatory compliance as the driving factors for relocating applications to different infrastructures.

Looking ahead, despite tighter regulatory restrictions imposed on the sector, it’s clear that even financial enterprises are seeking to benefit from the various cost, efficiency and sustainability advantages of hybrid cloud setups. Moreover, the cloud market, already worth $300 billion, is in for a healthy uptick as a result.

More from TechRadar Pro

Craig Hale

With several years’ experience freelancing in tech and automotive circles, Craig’s specific interests lie in technology that is designed to better our lives, including AI and ML, productivity aids, and smart fitness. He is also passionate about cars and the decarbonisation of personal transportation. As an avid bargain-hunter, you can be sure that any deal Craig finds is top value!