Harnessing the complete energy of AI within the cloud: The financial impression of migrating to Azure for AI readiness

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Forrester’s research underscores the numerous financial and strategic benefits of migrating to Azure for be AI-ready. Decrease prices, elevated innovation, higher useful resource allocation, and improved scalability make migration to Azure a transparent alternative for organizations seeking to thrive within the AI-driven future.

Because the digital panorama quickly evolves, AI stands on the forefront, driving vital innovation throughout industries. Nonetheless, to totally harness the ability of AI, companies should be AI-ready; this implies having outlined use-cases for his or her AI apps, being outfitted with modernized databases that seamlessly combine with AI fashions, and most significantly, having the correct infrastructure in place to energy and understand their AI ambitions. Once we discuss to our prospects, many have expressed that conventional on-premises techniques usually fall brief in offering the required scalability, stability, and suppleness required for contemporary AI purposes.

A latest Forrester research1, commissioned by Microsoft, surveyed over 300 IT leaders and interviewed representatives from organizations globally to find out about their expertise migrating to Azure and if that enhanced their AI impression. The outcomes confirmed that migrating from on-premises infrastructure to Azure can help AI-readiness in organizations, with decrease prices to face up and eat AI providers plus improved flexibility and skill to innovate with AI. Right here’s what it’s best to know earlier than you begin leveraging AI within the cloud.

Challenges confronted by prospects with on-premises infrastructure

Many organizations who tried to implement AI on-premises encountered vital challenges with their present infrastructure. The highest challenges with on-premises infrastructure cited have been:

  • Getting old and dear infrastructure: Sustaining or changing growing old on-premises techniques is each costly and complicated, diverting assets from strategic initiatives.
  • Infrastructure instability: Unreliable infrastructure impacts enterprise operations and profitability, creating an pressing want for a extra steady answer.
  • Lack of scalability: Conventional techniques usually lack the scalability required for AI and machine studying (ML) workloads, necessitating substantial investments for rare peak capability wants.
  • Excessive capital prices: The substantial upfront prices of on-premises infrastructure restrict flexibility and could be a barrier to adopting new applied sciences.

Forrester’s research highlights that migrating to Azure successfully addresses these points, enabling organizations to concentrate on innovation and enterprise development fairly than infrastructure upkeep.

Key Advantages

  1. Improved AI-readiness: When requested whether or not being on Azure helped with AI-readiness, 75% of survey respondents with Azure infrastructure reported that migrating to the cloud was important or considerably lowered obstacles to AI and ML adoption. Interviewees famous that the AI providers are available in Azure, and colocation of information and infrastructure that’s billed solely on consumption helps groups take a look at and deploy sooner with much less upfront prices. This was summarized nicely by an interviewee who was the pinnacle of cloud and DevOps for a banking firm:

We didn’t should go and construct an AI functionality. It’s up there, and most of our knowledge is within the cloud as nicely. And from a hardware-specific standpoint, we don’t should go procure particular {hardware} to run AI fashions. Azure gives that {hardware} right now.”

—Head of cloud and DevOps for world banking firm

  1. Value Effectivity: Migrating to Azure considerably reduces the preliminary prices of deploying AI and the fee to keep up AI, in comparison with on-premises infrastructure. The research estimates that organizations expertise monetary advantages of USD $500 thousand plus over three years and 15% decrease prices to keep up AI/ML in Azure in comparison with on-premises infrastructure.
  2. Flexibility and scalability to construct and preserve AI: As talked about above, lack of scalability was a standard problem for survey respondents with on-premises infrastructure as nicely. Respondents with on-premises infrastructure cited lack of scalability with present techniques as a problem when deploying AI and ML at 1.5 occasions the speed of these with Azure cloud infrastructure.
  • Interviewees shared that migrating to Azure gave them quick access to new AI providers and the scalability they wanted to check and construct them out with out worrying about infrastructure. 90% of survey respondents with Azure cloud infrastructure agreed or strongly agreed they’ve the flexibleness to construct new AI and ML purposes. That is in comparison with 43% of respondents with on-premises infrastructure. A CTO for a healthcare group mentioned:

After migrating to Azure all of the infrastructure issues have disappeared, and that’s usually been the issue whenever you’re new applied sciences traditionally.”

—CTO for a healthcare group

They defined that now, “The scalability [of Azure] is unsurpassed, so it provides to that scale and reactiveness we will present to the group.” In addition they mentioned: “Once we have been operating on-prem, AI was not as simply accessible as it’s from a cloud perspective. It’s much more out there, accessible, and simple to start out consuming as nicely. It allowed the enterprise to start out considering exterior of the field as a result of the capabilities have been there.”

  1. Holistic organizational enchancment: Past the fee and efficiency advantages, the research discovered that migration to Azure accelerated innovation with AI by having an impression on the individuals in any respect ranges of a corporation:
  • Bottoms-up: skilling and reinvestment in workers. Forrester has discovered that investing in workers to construct understanding, expertise, and ethics is crucial to efficiently utilizing AI. Each interviewees and survey respondents expressed problem discovering expert assets to help AI and ML initiatives at their organizations.
    • Migrating to the cloud freed up assets and altered the kinds of work wanted, permitting organizations to upskill workers and reinvest assets in new initiatives like AI. A VP of AI for a monetary providers group shared: “As we’ve got gone alongside this journey, we’ve got not lowered the variety of engineers as we’ve got gotten extra environment friendly, however we’re doing extra. You would say we’ve invested in AI, however all the things we’ve got invested—my total workforce—none of those individuals have been new additions. These are individuals we may redeploy as a result of we’re doing all the things else extra effectively.”
  • High-down: created a bigger tradition of innovation at organizations. As new applied sciences—like AI—disrupt total industries, corporations must excel in any respect ranges of innovation to succeed, together with embracing platforms and ecosystems that assist drive innovation. For interviewees, migrating to the cloud meant that new assets and capabilities have been available, making it simpler for organizations to make the most of new applied sciences and alternatives with lowered threat.
    • Survey knowledge signifies that 77% of respondents with Azure cloud infrastructure discover it simpler to innovate with AI and ML, in comparison with solely 34% of these with on-premises infrastructure. An govt head of cloud and DevOps for a banking group mentioned: “Migrating to Azure modifications the mindset from a corporation perspective in the case of innovation, as a result of providers are simply out there within the cloud. You don’t should exit to the market and search for them. For those who take a look at AI, initially solely our knowledge house labored on it, whereas right now, it’s getting used throughout the group as a result of we have been already within the cloud and it’s available.”

Study extra about migrating to Azure for AI-readiness

Forrester’s research underscores the numerous financial and strategic benefits of migrating to Azure for be AI-ready. Decrease prices, elevated innovation, higher useful resource allocation, and improved scalability make migration to Azure a transparent alternative for organizations seeking to thrive within the AI-driven future.

Able to get began together with your migration journey? Listed here are some assets to be taught extra:

  1. Learn the full Forrester TEI research on migration to Azure for AI-readiness.
  2. The options that may help your group’s migration and modernization objectives.
  3. Our hero choices that present funding, distinctive affords, skilled help, and greatest practices for all use-cases, from migration to innovation with AI.
  4. Study extra in our e-book and video on the way to migrate to innovate.

Refrences

  1. Forrester Consulting The Complete Financial Impression™ Of Migrating to Microsoft Azure For AI-Readiness, commissioned by Microsoft, June 2024



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