- 53% of organizations prioritize private cloud deployment for new workloads.
- 92% of IT leaders trust private cloud for enhanced security and compliance.
- 94% report public cloud spending waste, with 49% estimating over 25% waste.
In a recent survey conducted by Broadcom Inc. (AVGO, Financial), the Private Cloud Outlook 2025 report has unveiled a significant shift in cloud strategy preferences among 1,800 senior IT leaders. The results indicate a growing trend towards prioritizing private cloud solutions, with 53% of respondents choosing private cloud for deploying new workloads over the next three years. This marks a notable pivot from traditional public cloud reliance.
The survey identifies three primary drivers for this shift: security, Generative AI (GenAI) requirements, and cost management. A substantial 92% of IT leaders express confidence in private cloud's ability to meet security and compliance needs, underscoring its appeal for organizations handling sensitive data. Additionally, 55% of respondents prefer private cloud for AI workloads due to data privacy considerations, while 90% appreciate its financial predictability. This aligns with the findings that suggest 94% of organizations report wasteful public cloud spending, with 49% estimating over 25% of their spend is wasted.
Moreover, the report highlights that 84% of organizations are utilizing private cloud for both traditional and cloud-native workloads, demonstrating its strategic parity with public cloud options. To address the challenges of adoption, such as siloed IT teams (33%) and skills gaps (30%), 81% of organizations are restructuring around platform teams to enhance efficiency and capability.
