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Media & Entertainment Organizations Flock to the Cloud but Cite API Fee Challenges and Cybersecurity as Key Concerns

25/05/2023

Wasabi Technologies has released the findings of its global cloud storage index, focused on the media and entertainment (M&E) industry. The survey, commissioned by Wasabi Technologies and conducted by Vanson Bourne, seeks to uncover the changing attitudes amongst IT leaders in M&E organizations toward public cloud storage adoption, the factors that influence storage buying decisions, and the top priorities when it comes to budget, use cases, security, and cloud data migration.

Survey findings highlighted that, while M&E organizations are still relatively new to cloud storage (69% of respondents had been using cloud storage for three years or less), public cloud storage use is on the rise, with 89% of respondents looking to increase (74%) or maintain (15%) their cloud services. M&E respondents said they allocate 13.9% of their IT budgets to public cloud storage services, on average. However, overdrawn budgets due to hidden fees, alongside cybersecurity and data loss concerns, remain problematic for M&E organizations.

The media and entertainment industry is a key vertical for cloud storage services, driven by the need for accessibility to large media files among multiple organizations and geographically distributed teams, said Andrew Smith, senior manager of strategy and market intelligence at Wasabi Technologies, and a former IDC analyst. While complex fee structures and cybersecurity concerns remain obstacles for many M&E organizations, planned increases in cloud storage budgeting over the next year, combined with a very high prevalence of storage migration from on premises to cloud; clearly shows the M&E industry is embracing and growing their cloud storage use year on year.

Complex fees are a major challenge for M&E organizations globally

More than half of M&E organizations exceeded budgeted spend on cloud storage services in the last year.

Nearly half (49%) of M&E organizations' public cloud storage bill was comprised of fees in 2022, with the other half going to actual storage capacity used.

Understanding the costs and fees associated with cloud usage was cited as the number one cloud migration challenge for M&E organizations.

M&E organizations rely heavily on data access, egress and ingress, a key reason why M&E respondents indicated the highest prevalence of API call fees compared to the global average.

M&E respondents showed a very high prevalence of data migration to cloud, with 95% saying they migrated storage from on-premises to public cloud in the last year.

M&E organizations are concerned about cybersecurity and data loss

M&E respondents increasing their public cloud storage budgets in the next 12 months cited new data security, backup and recovery requirements as the top reason driving the increase, compared to the global average where security ranked third.

Almost half (45%) of M&E organizations reported using more than one public cloud provider. Data security requirements were one of the top reasons why M&E organizations were choosing a multi-cloud strategy, ranking a close second (44%) to different buying centers within the organization making their own purchase decisions (47%).

The top three biggest security concerns M&E organizations have with public cloud include:

Lack of native security services (42%)

Lack of native backup, disaster and data protection tools and services (39%)

Lack of experience with cloud platform or adequate security training (38%)

Organizations in the Media and Entertainment industry are flocking to cloud storage as their digital assets need to be stored securely, cost-effectively and accessed quickly, said Whit Jackson, vice president of media and entertainment at Wasabi. Barriers around cost and security still concern M&E organizations, but with Wasabi hot cloud storage, the M&E industry can affordably store all of their content in the cloud with predictable pricing - from raw footage to finished product - with data securely archived yet immediately accessible at a moment's notice.

Methodology

Wasabi commissioned the independent market research agency Vanson Bourne to conduct research into cloud storage. The study surveyed 1,000 IT decision-makers who had at least some involvement in or responsibility for public cloud storage purchases in their organization.

The research took place in November and December 2022 from organizations with more than 100 employees across all public and private sectors. All interviews were conducted using a rigorous multi-level screening process to ensure that only suitable candidates were given the opportunity to participate.

This report focuses on the subset of respondents in the media & entertainment industry. Their responses illustrate their vertical's practices around the use of public cloud storage and this report will reference these responses in context of the range of industries surveyed in the full Cloud Storage Index Report.
LINK: https://hpaonline.com/media-entertainment-organizations-flock-to-the-c...
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