STATE OF OPENSTACK ADOPTION REPORT Industry Survey Results February 2016

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1 STATE OF OPENSTACK ADOPTION REPORT Industry Survey Results February 2016

2 Why Another OpenStack Report? The open source cloud computing project, OpenStack, has come a long way since NASA and Rackspace launched it in However, with all of its recent successes, there are still questions and debates that surround OpenStack adoption that are worth answering. VMblog and CloudCow media surveyed nearly 650 technology professionals and members of organizational management in order to gauge people s understanding and adoption of OpenStack; as well, to find out how the market is using the technology. The survey results reflect a wide range of industries and company sizes, ranging from less than 10 to more than 10,000 employees. Data was also representative across the globe, with the majority of respondents coming from North and South America, followed by Europe.

3 Overview VMblog.com and CloudCow.com set out to gather information about the current state of OpenStack adoption. For those currently using or evaluating OpenStack: What is driving the adoption of OpenStack? What are the key hurdles to adoption? What are the key use cases? For those currently using OpenStack: What are you doing with it once you have it in place? The survey resulted in 647 responses, reflecting a wide range of industries and company size.

4 Highlights of OpenStack Adoption 1. OpenStack is considered a cost effective alternative to public clouds. The top drivers for OpenStack adoption include public cloud cost that is too high (61%) and a desire to improve responsiveness for IT service delivery (59%). 2. OpenStack deployments, once in place, are expected to expand quickly beyond development environments. Lab expected growth from 43% to 89% within 12 months QA/Test expected growth from 47% to 91% within 12 months 3. Security model and operational tools are the top challenges to OpenStack adoption. Security Model (26%) and Lack of Operational Tools (23%) were mentioned most often as the top challenge for OpenStack adoption. 4. Ease of management and stability of OpenStack are improving. Evaluators and Users of OpenStack have different perceptions about complexity and deployment. Evaluators of OpenStack believe that complexity and difficulty of deployment are decreasing, while Users of OpenStack are more likely to rate that complexity and difficulty of deployment are increasing.

5 Highlights of OpenStack Use 1. The expectation is that OpenStack will be able to handle any workload type in short order (with the exception of pets ). No application type or workload registered less than 83% for currently deliver or within 12 months. The top 3 workloads currently delivered on OpenStack include: new greenfield applications (69% currently deliver); containers (61%), web applications (58%) 2. Current OpenStack users expect high levels of private cloud use within the next 5 years (and not domination of public cloud). 54% of respondents expect their cloud use to be all or mostly private, with another 14% expecting a balanced mix of private and public. 3. PaaS, Containers, and privately managed OpenStack are expected to grow in use while proprietary public clouds and legacy virtualization are expected to decline. 4. Consumption of services to help deploy and support OpenStack clouds is high. For those using OpenStack to support projects or production workloads, 85% are paying for support or related services.

6 What is your familiarity with OpenStack Technology? (n = 647) Highlights Never heard of it 2% The survey was asked of a general virtualization and cloud audience, rather than focusing specifically on existing OpenStack users in order to get a complete understanding. With 647 survey responses, it became clear that OpenStack has definitely become a more mature technology with increased visibility. Only 2% of respondents had never heard of it; and another 36% were familiar with the technology, but not yet using it. More than half of those surveyed were already using OpenStack within their organization in some form or fashion: 32% were kicking the tires and evaluating it, and 30% were using it to support current projects or production workloads. Using it to support projects or production workloads 30% Currently evaluating it 32% Familiar with, not using it 36%

7 For those evaluating or using OpenStack, what is motivating you? Public cloud cost is too high Improved responsiveness Consolidation benefits Legacy IT costs are too high Avoid vendor lock-in Higher availability Flexibility OpenStack is the easiest cloud

8 For those evaluating or using OpenStack, what are the adoption plans for OpenStack at your company/organization? Using now Within 12 months >12 months No plans to adopt 0 Development Lab QA/Test Production

9 For those evaluating or using OpenStack, what is the top challenge you have experienced adopting OpenStack? Security model Lack of operational tools for production Managing the cost structure, chargeback Reliance on open source Lack of deployment tools Internal resistance Available talent Overall complexity

10 What are the biggest challenges you have experienced adopting OpenStack today? The migration to an OpenStack platform is complex and requires a lot of architectural planning that is always underestimated. Deploying VLAN based networking. Installation complexity for those who use it for the first time, even by following documentation. Finding the talent to manage and operate OpenStack. Putting all the pieces together by ourselves and figuring out how to keep it manageable and upgradeable. A lack of market penetration for customers willing to pay for value added tooling. Biggest is internal resistance due to the 6-month release cycle -- some teams want stuff faster and don't like the community-driven process. Establishing adequate knowledge to know where to start with OpenStack. I do not think I could have stood up an OpenStack environment without a streamlined deployment method such as VIO. There were various errors during deployment, and that was taking all drivers/storage/network pieces out of the equation thanks to vsphere.

11 For those evaluating or using OpenStack Do you believe that the big IT vendors are leading OpenStack Cloud Platform in the right direction? Do you believe that the Big Tent initiative is helping the OpenStack ecosystem? No 12% Unsure 8% No 11% Unsure 9% Yes 80% Yes 80%

12 Do you believe that the big IT vendors are leading OpenStack Cloud Platform in the right direction? The lack of operational tooling coupled with the reality of deployment tools really needs to get solved to decrease the complexity as well as assist not only deploying but also supporting OpenStack. Most are looking to complement the vanilla devstack with proprietary bits rather than contribute upstream and remain distinctive based on internal knowledge and acceleration. The question is always what their motives are. Without proper big vendor support and investment, OpenStack would end up like CloudStack. Seems to be going more to private cloud than I'd like. I have doubts that the big IT Vendors are doing more harm than good (generally speaking). Releases are unstandardized and there are overlapping projects.

13 How do you think the OpenStack Cloud Platform is evolving? Currently Using OpenStack Stability to support workloads Difficulty of management Standardization Difficulty of deployment Complexity 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Improving Neither Declining

14 How do you think the OpenStack Cloud Platform is evolving? Evaluating OpenStack Stability to support workloads Difficulty of management Standardization Difficulty of deployment Complexity 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Improving Neither Declining

15 For those using OpenStack, are you paying for support or related services for your OpenStack cloud? Highlights Operating a cloud is not for the faint of heart, and running anything at scale can prove to be a major challenge. It takes a lot of skills, tools, and monitoring, and it can get pretty complicated. No 15% It is no surprise that 85% of respondents currently using OpenStack reported that they are paying for support or related services to maintain their environment. We expect that number to decrease over time as OpenStack and the tools to support it mature, and as more users become experts in the field, much like what happened with VMware vsphere environments. Yes 85%

16 For those using OpenStack, what types of applications and use cases do you currently or expect to deliver using OpenStack? New greenfield apps Containers Web-facing applications Test and QA Cloud-based applications Migrating existing production workloads Devops PaaS Big data or production enterprise apps 0% 20% 40% 60% 80% 100% Currently deliver Within 12 months >12 months No plans

17 For those using OpenStack, what types of applications and use cases do you currently or expect to deliver using OpenStack? Currently deliver Within 12 months >12 months No plans Pets Cattle

18 For those using OpenStack, 5 years from now, what is the anticipated mix of cloud models for your company/organization? Highlights Industry vendors like VMware, IBM, HPE, Cisco and more are exploring ways to support customers in a hybrid cloud mix. Respondents expect to gravitate to one model or the other, with only 14% expecting a mostly hybrid environment in 5 years. A majority of respondents currently using OpenStack are still prepared to maintain most of their environment on-premises, with 54% saying they will continue to be more than 80% private over the next 5 years. Equally interesting, 30% of the respondents using OpenStack plan to move more than 80% of their environments to the public cloud over the next 5 years which could be a signal that security concerns may be fading. Too far out to determine 2% Mix of both public and private 14% More than 80% public 30% More than 80% private 54%

19 For those using OpenStack, what is the current and anticipated mix of virtualization and cloud technologies at your company/organization? Containers None <2% 2-10% 10-33% 33-66% % Now 24 months from now 0

20 For those using OpenStack, what is the current and anticipated mix of virtualization and cloud technologies at your company/organization? PaaS None <2% 2-10% 10-33% 33-66% % Now 24 months from now 0

21 For those using OpenStack, what is the current and anticipated mix of virtualization and cloud technologies at your company/organization? Self-managed Private OpenStack None <2% 2-10% 10-33% 33-66% % Now 24 months from now 0

22 For those using OpenStack, what is the current and anticipated mix of virtualization and cloud technologies at your company/organization? Microsoft Azure None <2% 2-10% 10-33% 33-66% % Now 24 months from now 0

23 For those using OpenStack, what is the current and anticipated mix of virtualization and cloud technologies at your company/organization? VMware None <2% 2-10% 10-33% 33-66% % Now 24 months from now 0

24 For those using OpenStack, what is the current and anticipated mix of virtualization and cloud technologies at your company/organization? Amazon Web Services None <2% 2-10% 10-33% 33-66% % Now 24 months from now 0

25 For those using OpenStack, what is the current and anticipated mix of virtualization and cloud technologies at your company/organization? Google Cloud Platform None <2% 2-10% 10-33% 33-66% % Now 24 months from now 0

26 For those using OpenStack, what is the current and anticipated mix of virtualization and cloud technologies at your company/organization? Vendor Managed OpenStack None <2% 2-10% 10-33% 33-66% % Now 24 months from now 0

27 Respondent Demographics Highlights Respondents work in organizations from as few as less than 10 employees to well beyond 10,000 employees. The largest segment of survey respondents fall in the employee range, with 44% classified as such. This was followed closely by those in the 1,000-9,999 employee range, reaching 35%. A wide variety of organizational sizes shows the cross section of technologists surveyed is a strong representation of varied companies across the globe. And suggests, OpenStack is a strong solution for both enterprise and SMB companies. 10,000+ 2% <10 3% Size of Company 1,000-9,999 35% % %

28 Respondent Demographics Highlights Industries/Verticals Demographic data shows interest in OpenStack no matter the industry / vertical. Industry representation was more heavily skewed toward Technology Service Providers, Energy & Utilities, and Manufacturing, which totaled nearly half (48%) of respondents. Telco 1% Technology - other 6% Non-profit Healthcare1% 6% Technology - Service Provider 11% Energy & Utilities 18% Also well represented were the Transportation (10%), Finance (7%) and Healthcare (6%) industries. 17% of respondents identified themselves as Technology, with 11% identifying as a service provider and the remaining 6% as other. Manufacturing 19% Professional Services Government 4% Education 2% 4% Finance 7% Consumer 6% Materials 5% Transportation 10%

29

30 About Talligent Talligent empowers enterprises and service providers to deploy production ready OpenStack clouds by dramatically improving the visibility and control of cloud infrastructure consumption. We are OpenStack experts we know its capabilities and are developing solutions that take advantage of OpenStack s key benefits without vendor lock-in. Talligent Openbook provides the functionality to turn your private or public cloud into an efficient and automated multi-tenant environment. CloudCow CloudCow is an online publication founded in 2011 and dedicated to the next generation data center environment. CloudCow is a comprehensive resource for cloud computing news, analysis and information. The online publication provides IT professionals and executives with access to the latest information needed to make cloud computing and IT business decisions within their respective organizations. Learn who the key players are in the industry, which products stand out above the rest, how the various technologies work, and how cloud computing is being used today in real-world environments. Hear from industry experts and executives, and access the latest news, articles, tips, white papers and Webinars covering all aspects of cloud computing. And get free access to CloudCow Hoofer, a comprehensive cloud computing database of information. From time to time, CloudCow conducts industry surveys designed to gather information to help with IT priorities, strategies and decision making capabilities. VMblog VMblog.com was founded in 2004 by David Marshall, a long time virtualization and cloud evangelist and industry recognized expert. Since that time, the website has become known as one of the oldest and best independent resources on the web for finding the most up-to-date virtualization and cloud technology news and information. As a dedicated voice for the virtualization and cloud communities, VMblog provides its audience with everything they need to know. At a high level, VMblog offers decision makers with the information they need to make sound purchasing decisions, and at the same time also providing administrators, system architects, IT managers and C-level management the best place to go to quickly get the latest breaking news and in-depth coverage of issues, trends, people, events, whitepapers, webinars and products that span the full virtualization spectrum: from server, desktop, application, network and storage virtualization, as well as cloud computing, containers, IoT and more.

31 Talligent All rights reserved. Citing this Survey Under no circumstances should this document be sold, copied, or reproduced in any way except with written permission from Talligent. All information found within this document must be cited verbatim and commercial citation of research is prohibited without express written permission from Talligent. All citations must be limited in scope. Full reproduction of this research is prohibited. All citations for this research must be attributed in the following manner: Source: 2016 State of OpenStack Report, Talligent, Feb The information contained within the document is provided in good faith and is believed to be accurate, appropriate and reliable at the time it is given, but is provided without any warranty of accuracy, appropriateness or reliability. The author does not accept any liability or responsibility for any loss suffered from the reader s use of the advice, recommendations, information, assistance or service, to the extent available by law. All trademarks in this report are the property of their respective owners.

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