90% of Singapore firms struggle with high data retention costs

Multicloud is currently a mix of clouds that don’t communicate well, but as multicloud complexity and the related costs are on the rise, the friction leads to data lock-in and the resulting loss of business value. 

The Multicloud Maturity Report from Seagate Technology Holdings says that innovation is about eliminating friction that slows down and locks in data—whether it’s cost- or access-related friction.

The report show that it is crucial and possible to both minimise data costs and maximise data-driven innovation in the multicloud.

Drawing on an original global survey of senior IT and business leaders, commissioned by Seagate and conducted by Enterprise Strategy Group (ESG), the report builds a Multicloud Maturity Model. 

The model shows how organisations navigate the growing multicloud complexity. It reveals that the most multicloud-mature companies derive the greatest business benefits. 

Multicloud-mature firms — ones that best manage cloud costs and foster innovation with the cloud — outperform their peers at business. 

These firms beat their revenue goals by nearly twice as much as their less mature counterparts, and are 6.3 times more likely to go to market months or quarters ahead of their competition

Also, these firms are almost three times more likely to report that their organisation is in a very strong business position, and are more than three times more likely to expect their companies’ valuation to increase fivefold over the next three years.

However, the reality for organisations in Singapore is that high data retention costs are hampering their digital transformation and ability to maximise data value. Among Singaporean firms surveyed, 90% say they have this problem.

In Singapore, 29% of firms believe that their adoption of cloud technologies is being significantly hindered or slowed down by storage cost considerations.

Over the past 12 months, 35% of Singaporean organisations surveyed have deleted or discarded unstructured data which could have been used to create business value due to the cost of retaining it.

Almost all Singaporean firms agree that the opportunity exists for their organisation to capture and extract value from additional data generated by their operations, which they do not capture today.

Seagate CEO Dave Mosley said the global datasphere doubles in size every three years and how firms treat all this data matters.

“It should no longer be acceptable that companies can afford to save and use only a fraction of their data,” said Mosley. “The more organisation leaders see data as vital business currency, the easier it will be for their companies to find a way to greater business value.” 

In its report, Seagate offers a data-centric lens on the multicloud. Invariably, companies that scale successfully are the ones that put data at the core of all they do. The most mature multicloud strategies are data-centric strategies.