Manufacturing companies to continue to increase cloud spending, consumption only at 48%

Infosys has released its new industry survey Cloud Radar: Manufacturing Industry Report, which explores the rising significance of cloud computing in the manufacturing industry, revealing its pivotal role in research and development (R&D), new product design and driving growth and transformation. Nearly 75% of surveyed manufacturers and automotive companies found their cloud migration efforts to be very effective or extremely effective, indicating a high level of satisfaction and success with adopting cloud technologies in their operations.

The report builds on Infosys’ latest Cloud Radar 2023 report, enriching insights through specialized research of industry practitioners, executives and subject matter experts globally. This deeper look into manufacturing companies highlights the importance for leaders in the industry to focus on collaboration and seizing opportunities for connected product services, adopting industry-specific cloud applications for better performance and innovation, and data sharing across systems leveraging cloud migration.

Cloud Radar: Manufacturing Industry Report identifies five key findings:

  • While manufacturing cloud spending is slightly below the global average of $30 million annually, companies are increasing cloud spending, with two-thirds planning to do so in the following year. Nearly 65% of companies surveyed utilize three to four cloud providers at one time.
  • While investments in cloud are set to increase, only 48% of their cloud commitments are actually being consumed, highlighting the need for better optimization strategies.
  • Cloud computing has become essential for manufacturing, particularly in research, development, and new product design, while also presenting challenges such as cost, security, and governance
  • Cloud-based engineering mitigates product development risks through a unified, secure platform for visibility, collaboration and timely alerts.
  • Beyond new product development, manufacturers turn to the cloud for growth and transformation, including integrating acquisitions, accessing new technologies, enabling new revenue streams and updating outdated systems.

To view the full report, please visit: Cloud Radar: Manufacturing Industry Report