Orgs Strive for ROI by Increasing AWS Spending Many Amazon Web Services (AWS), customers are increasing their cloud spending to take advantage of the promise of higher revenues and lower maintenance cost. This is the result of a survey conducted by 2nd Watch, which is a Premier Consulting Partner in AWS Partner Network (APN) and a provider of managed AWS service. The company surveyed 1,000 executives from U.S. businesses that use AWS and have more than 1,000 employees earlier this year. 36% of respondents said that their cloud investments have brought tangible returns on investment (ROI) to their company. A smaller percentage (30%) said they are still waiting for those returns, but are on track to achieve them. 2nd Watch found that nearly half of respondents to the survey believe that cloud-native AWS services will increase their business’s spending this year due to this optimism. Around 35 percent of respondents plan to increase their spending on AWS Lambda and Amazon Redshift in 2017, while another 13 per cent expect a 21- to 30-percent increase in year-over-year expenditures. Businesses are motivated by two main factors when increasing their cloud-native spending: the potential increase in their revenues (chosen 31 percent of those surveyed), and cost savings (24%). Other reasons were faster product and service launches (20%) and better customer service (22%). Jeff Aden, cofounder and executive vice-president of marketing at 2nd Watch, stated that the survey results were consistent with what he and his customers are hearing. “They are making new investments in these cloud-native service as payoffs from previous investments show up, they’re looking at new ways to create value and drive down costs.” Respondents pointed out several roadblocks that prevent cloud services from being more widely adopted, despite most of them being keen to invest in them. 34% of respondents identified lack of expertise as their greatest concern. This is likely why 36% are outsourcing the implementation tasks to partners. Aden stated that the biggest enterprises will continue to seek support from top providers who are experts in public clouds and have experience migrating and managing enterprise workloads. According to 28%, insufficient budgets and lack of support by executives were other notable obstacles. Other findings from the survey include:

32% of respondents cited sales and marketing as the largest beneficiaries of increased cloud spending. Customer service departments (19%) and product developers (18%) were next. Around 29 percent of respondents …