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The cloud computing ROI problem!
According to Datacom’s 2025 Cloud and Infrastructure Report, many businesses report that cloud computing has not delivered on expectations. Instead, they face higher costs and a complex IT landscape with multiple systems that hinder much-needed improvements. Companies are even turning back to private data centers due to the unexpectedly high total ownership costs.
- In nearly 50% of cases, no value is created.
- With no financial gain or even a negative ROI.
- Considerably higher costs than before.
The fundamental problem isn’t necessarily the technology itself but the actual cost versus the value delivered. As a result, enterprises are shifting workloads back to private data centers, which offer better cost predictability and control. For organizations running steady-state workloads, the fixed costs of on-premises infrastructure are now viewed as an advantage because they are cost-predictable.