How distributed cloud boosts APAC business performance

In today’s rapidly evolving technology landscape, cloud computing has empowered businesses to scale, innovate, and navigate modern-day challenges with agility. Centralised cloud models have long been essential for providing computing power, but there has been a shift in cloud computing trends driven by factors such as the exponential global growth of data, the emergence of edge computing, and the growing demand for real-time processing and low-latency applications.

While centralised cloud solutions offer scalability and flexibility, they also pose challenges such as latency issues, data privacy concerns, and reliance on stable internet connectivity. In contrast, the distributed cloud model tackles these issues by decentralising computing resources, optimising data management and analysis, and bringing processing closer to the data source.

Leveraging distributed cloud for enhanced performance and scalability

Across industries, low latency and proximity to customers are critical to a business’s success. For example, in media and gaming, users expect zero downtime. In retail, customers expect convenient, seamless shopping experiences across digital and in-store channels. Trust is paramount in the financial services sector, with customers expecting easy and secure access to their accounts and up-to-date information. As all industries face performance pressures, modern applications are pushing the limits of public cloud infrastructure.

In response, companies are turning to distributed cloud and cloud-to-edge architecture, which prioritise deploying software where it runs best, minimising latency and optimising performance. In fact, two-thirds of IT decision-makers anticipate an increase in their use of distributed cloud services over the next 12 months, with over one-third considering the benefits of distributed cloud as mission-critical to their IT strategy, according to a 2023 global study by ClearPath Strategies.

In particular, the software-as-a-service (SaaS) sector has been turning to distributed cloud to deliver engaging and seamless digital experiences. This helps solve their main challenge of attracting new subscribers while retaining existing customers. According to a study by SlashData, SaaS developers are increasingly interested in the distributed cloud model for its ability to enhance user experience through reduced latency, cost-effective localised resources, and greater capacity to handle data-intensive applications.

With a strong focus on providing optimal experiences to their end users, SaaS vendors need cloud infrastructure that can deliver sub-second application responses to customers regardless of their location. Additionally, flexibility and scalability are paramount for SaaS companies as they experiment with new applications, rapidly deploy popular features, and expand into new global markets. As SaaS companies grow, they look to appeal to customers in new global markets, which necessitates rapid application deployment.

Similarly, the gaming industry is capitalising on distributed cloud infrastructure to enhance user experiences. Gaming companies need to deliver game workloads efficiently to players worldwide, minimising lag and latency in online and multiplayer environments. The distributed cloud model offers improved performance, scalability, and cost-efficiency through localised resources, enabling game developers to scale operations flexibly and handle data-intensive applications seamlessly. By leveraging distributed cloud solutions, gaming companies can provide personalised and immersive experiences, boosting player retention and loyalty in a highly competitive market.

The future of cloud is distributed

The Asia-Pacific region is no stranger to developments in cloud computing. According to KBV Research, the APAC distributed cloud market is expected to witness a compound annual growth rate of 20.8% during the forecast period of 2022–2028. Companies in China, Japan, South Korea, India, and Taiwan have realised the potential benefits of using private cloud server solutions to streamline their existing business processes.

Across the region, the shift to distributed cloud mirrors a broader trend towards hybrid and edge computing architectures, where organisations seek to leverage the advantages of both centralised and distributed cloud environments to meet the diverse demands of modern applications and workloads.

While some businesses may opt for a fully distributed cloud architecture to leverage edge computing and optimise data processing, others may maintain a hybrid approach, choosing to balance both centralised and distributed solutions to accommodate diverse workloads and security considerations. Ultimately, as we navigate towards a distributed cloud landscape, companies will have to align their cloud strategies with organisational objectives and operational realities.