Cloud adoption 2020 statistics and infographic

Cloud usage header

The unexpected impact of COVID-19 has encouraged a shift in technology to accommodate new ways of working. Cloud computing has been a significant driver of necessary change in 2020, allowing flexibility in usage and cost.

A study based on the responses of 250 IT leaders suggests that cloud adoption has surged as a result of the pandemic – and it’s a trend that’s set to continue. The key reasons for this rapid increase are remote working and tightening budgets.

We’ve summarised the study in a handy infographic and summarised the key findings below.


Cloud usage 2020 infographic

Businesses’ response to cloud adoption during COVID-19

The onset of the pandemic instantly highlighted the drawbacks of businesses’ existing technology. For many, this meant cloud transformation was a necessary action to take.

The majority of those surveyed have or will implement a cloud strategy:

  • 91% are changing their cloud strategy
  • 82% initially increased their cloud usage
  • 45% are accelerating cloud migration
  • 22% are putting cloud transformation on hold

The study also investigated the financial impact of COVID-19 on technology, as businesses began to cut costs and retain profit:

  • 56% expected to increase their cloud spend
  • 32% asked their cloud vendors for extended payment terms
  • 31% renegotiated their contracts
  • 10% said they couldn’t pay their cloud contract bills that month

The survey results indicate that cloud technology will become a prominent investment moving forwards to support the ‘new normal’.


Key cloud technology during the pandemic

Critical needs to resume business during the pandemic led to increased adoption of cloud-based technology. This included video conferencing software, collaborative tools, and cloud platforms.

Some businesses had already successfully implemented such technology; however, usage has generally increased:

  • 76% increased usage of cloud platforms like Amazon Web Services (AWS), Microsoft Azure and private cloud
  • 73% considered video chat apps ‘lifesavers’
  • 65% couldn’t live without communication apps like Slack, Teams, and Google Chat
  • 55% saw an increase in collaborative tools like Slack, Teams, and Google Chat
  • 52% saw an increase in cloud-based video conferencing software like Zoom and Cisco WebEx


Employee attitudes to IT during COVID-19

While businesses had to adapt overnight, employees did too. Working remotely meant that attention turned towards continuing operations with minimal disruption – and technology is a fundamental way to achieve this.

Employees seemingly became more aware of the positive impact of technology during the pandemic:

  • 82% of those surveyed noticed positive changes in employees’ attitudes towards IT
  • 42% stated that employees seem more aware that IT is key to business operations


Moving forward

The results so far suggest that cloud technology has supported and improved operations during the COVID-19 pandemic, but what about moving forward? Prior to the pandemic, cloud transformation was still a key topic in the tech world, but the instant need for change has brought it to the forefront of business planning.

The results suggest that cloud transformation will continue to be an important consideration:

  • 60% are continuing to increase their cloud usage
  • 66% will continue to use the cloud technology they implemented during the crisis once employees return to the workplace
  • 24% will continue to use some of the cloud technology currently in place but will discontinue some


Summary of findings

Cloud technology has been a hot topic for years, with an ongoing shift in the way businesses work. The coronavirus pandemic has been a catalyst for change, with cloud adoption surging and a need for certain types of technology to accommodate key needs.

With readiness required for the ‘new normal’, businesses will continue to focus on their cloud strategy. As 43% of those surveyed would like remote working to be a permanent consideration for their businesses, there’s a permanent change in how office-based jobs operate. Plus, employees have seen for themselves how technology can support changing requirements.

Using cloud-based software to consolidate your usage of legacy systems, reduce administrative tasks, and make cost savings is key to thriving in an ever-changing economy.

Codapay offers cloud payroll software designed to revolutionise the way you work. Get a free demo today.

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