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The State of the Network is … In the Clouds. Guess Where Your Applications Are?

Steve Brown

We've come a long way from the days when all enterprise applications were hosted on-premise in the internal data center. The enterprise network is being propelled further and further away from the data center … and into the cloud. Viavi's ninth annual State of the Network global study provides ample evidence of this and also shows how incredibly rapidly this is happening.

The State of the Network study is conducted each year to highlight network trends and examine the challenges that IT teams are facing. In fact, the seismic shifts occurring in the enterprise network are presenting a number of interesting challenges for Application Performance Management (APM), both for today and the near future.

Based on insight gathered from CIOs, IT directors, analysts and network engineers around the world, the adoption of next-generation infrastructure technologies is accelerating at an ever faster pace. Fifty-four percent of State of the Network study respondents expect bandwidth requirements to grow by half in 2016, and 48 percent expect them to double by the end of 2017. As a result, enterprises are significantly increasing their deployment of 100 Gigabit Ethernet (100 GbE), public and private cloud, and software-defined networking (SDN).

Moving to the Cloud

The expected growth in bandwidth demand is clearly a factor behind the transition to the cloud, but it's not the only driving force. Enterprise networks also are being held to a higher standard of availability and performance than ever before, and the cloud enables improved service availability, reliability and network resource provisioning. And, yet, despite the strategic motivations for cloud-based architecture, it is the almighty dollar that is providing the biggest push into the cloud. 62 percent of study respondents were seeking lower operating expenses with a cloud infrastructure and 53 percent were looking to reduce capital expenses.

This year's study found that 66 percent of respondents have turned to public clouds, such as Amazon Web Services, Google's Cloud Platform and Microsoft's Azure, and 54 percent have deployed private cloud platforms. In fact, nearly 90 percent of study respondents have at least one application in the cloud, and 28 percent already host the majority of their applications there.

By 2017, more than four out of five will be using public, private or hybrid cloud infrastructure, and more than half expect to have the majority of their applications in the cloud. A particularly interesting finding is that more than half of all respondents are using two or more public cloud vendors, potentially creating unique challenges for application visibility and management.

Additionally, two out of three respondents have already deployed some facet of SDN as well. This was surprising, given that in the 2015 study, SDN adoption was projected to be just 51 percent by the end of 2016, with slightly less than half of respondents saying they had no plans at all.

Cloud Forecast: Reduced Visibility

As cloud and hybrid cloud networking becomes more commonplace, applications can now span across environments. Today's IT professionals are being challenged to manage workloads and provision interconnections between on-premises, private cloud and even multiple third-party cloud vendors.

Among the challenges cited in the 2016 State of the Network study, the top issues related to application monitoring in the cloud are reduced visibility and control, tracking end user experience, and SLA enforcement. Almost nine in 10 respondents cite each of these issues as being very or somewhat challenging.

In fact, for the first time in the study's nine-year history, the top challenge in application monitoring is no longer "isolating the problem to the network, system or application." Instead, 60 percent defined the primary issue as "tracking application bugs and patches."

For enterprises deploying or operating hybrid clouds, the move outside the internal data center presents significant risk of losing performance monitoring capabilities of resources spread across physical, virtual and cloud hosting environments. When it comes to comprehensive monitoring of an increasingly hybrid network environment, it's important for IT teams to work closely with application performance management vendors to keep a close eye on enterprise resources as they navigate this uncharted territory.


Hot Topics

The Latest

For decades, enterprise networks were designed around a simple assumption: work happened inside the office. Applications lived in centralized data centers, employees connected through internal infrastructure, and security focused on protecting the perimeter that surrounded everything ... But the way organizations operate today bears little resemblance to that environment. Cloud platforms host critical applications, employees connect from homes and airports as often as they do from offices, and partners collaborate through shared systems that exist far beyond corporate walls. In short, the corporate network no longer resembles the environment it was designed to protect ...

As an analyst who researches how IT organizations design, build, and operate their networks, I find that network data is a constant source of pain. Network teams struggle with data quality, fragmentation, authority, access, and trust. And these issues undermine everything they try to do. Here are the numbers: Only 45% of network teams are completely confident in the accuracy of their network source of truth, which documents the intent of their network ...

The 2026 Global Data Center Survey from Uptime Institute reveals an industry navigating workforce constraints, escalating outage expenses, even as rising costs remain the top concern for management teams ...

The next observability gap may not be in the code. It may be under the rack. That sounds strange until you think about how AI incidents actually feel in the middle of an investigation ... The application dashboard may be accurate. It may also be stopping at the wrong boundary. AI systems depend on software, but they also depend on a dense physical stack: racks, power paths, thermal margin, maintenance activity and, in many environments, liquid cooling. Those physical dependencies can change slowly before they look like a software incident ...

Certificate expiration is the rare outage you can see coming. Every TLS certificate carries the date it stops working, so the moment it will begin breaking connections is knowable in advance. That's what makes an expired certificate such a frustrating way to lose a service. What's changing now is how often that date comes around ...

Enterprises operate different combinations of workloads across cloud, hybrid and multicloud environments. For business-critical workloads, teams need to consider monitoring and observability early so they can detect health issues, investigate failures, and understand operational impact. Organizations place workloads on cloud platforms based on a combination of technical requirements, economics, existing dependencies, organizational standards, and business priorities. Their monitoring priorities therefore depend on what they operate and where those systems run. Those priorities will not look the same for every organization ...

Top-performing businesses prioritize data-driven decision making, enabling leaders to move from intuition and gut feel towards evidence-based judgment. But that judgment is only sound when the data underpinning decisions is accurate. With incident management, data accuracy is particularly important. Long-term revenue, customer trust, and operational stability depend on high-quality data that enables teams to quickly identify and address the root cause of major incidents. Against this backdrop, governance becomes a critical endeavor to ensure the right data drives the right action ...

In MEAN TIME TO INSIGHT Episode 26, Shamus McGillicuddy, VP of Research, Network Infrastructure and Operations, at EMA discusses network compliance ... 

Most production autonomous agents do not run in a vacuum. They run inside cloud infrastructure: virtual machines, containers, pods, managed clusters or private servers. That is where most operations teams start monitoring. Is the VM alive? Is the container running? Did the pod restart? Is memory stable? Is CPU too high? Did the health check pass? Those signals are useful. They tell you whether the shell around the agent is alive. They do not tell you whether the agent inside is actually operational ...

Enterprise IT environments have never been more observable ... Yet many organizations still grapple with outages, lengthy incident resolution cycles, and increasing complexity. Most teams do not suffer from a shortage of data. They struggle to determine what deserves attention and what action to take next ... Enterprise IT operations must move beyond monitoring and visibility. The next stage of maturity is decision operations, an approach that helps teams make faster, better-informed decisions ...

The State of the Network is … In the Clouds. Guess Where Your Applications Are?

Steve Brown

We've come a long way from the days when all enterprise applications were hosted on-premise in the internal data center. The enterprise network is being propelled further and further away from the data center … and into the cloud. Viavi's ninth annual State of the Network global study provides ample evidence of this and also shows how incredibly rapidly this is happening.

The State of the Network study is conducted each year to highlight network trends and examine the challenges that IT teams are facing. In fact, the seismic shifts occurring in the enterprise network are presenting a number of interesting challenges for Application Performance Management (APM), both for today and the near future.

Based on insight gathered from CIOs, IT directors, analysts and network engineers around the world, the adoption of next-generation infrastructure technologies is accelerating at an ever faster pace. Fifty-four percent of State of the Network study respondents expect bandwidth requirements to grow by half in 2016, and 48 percent expect them to double by the end of 2017. As a result, enterprises are significantly increasing their deployment of 100 Gigabit Ethernet (100 GbE), public and private cloud, and software-defined networking (SDN).

Moving to the Cloud

The expected growth in bandwidth demand is clearly a factor behind the transition to the cloud, but it's not the only driving force. Enterprise networks also are being held to a higher standard of availability and performance than ever before, and the cloud enables improved service availability, reliability and network resource provisioning. And, yet, despite the strategic motivations for cloud-based architecture, it is the almighty dollar that is providing the biggest push into the cloud. 62 percent of study respondents were seeking lower operating expenses with a cloud infrastructure and 53 percent were looking to reduce capital expenses.

This year's study found that 66 percent of respondents have turned to public clouds, such as Amazon Web Services, Google's Cloud Platform and Microsoft's Azure, and 54 percent have deployed private cloud platforms. In fact, nearly 90 percent of study respondents have at least one application in the cloud, and 28 percent already host the majority of their applications there.

By 2017, more than four out of five will be using public, private or hybrid cloud infrastructure, and more than half expect to have the majority of their applications in the cloud. A particularly interesting finding is that more than half of all respondents are using two or more public cloud vendors, potentially creating unique challenges for application visibility and management.

Additionally, two out of three respondents have already deployed some facet of SDN as well. This was surprising, given that in the 2015 study, SDN adoption was projected to be just 51 percent by the end of 2016, with slightly less than half of respondents saying they had no plans at all.

Cloud Forecast: Reduced Visibility

As cloud and hybrid cloud networking becomes more commonplace, applications can now span across environments. Today's IT professionals are being challenged to manage workloads and provision interconnections between on-premises, private cloud and even multiple third-party cloud vendors.

Among the challenges cited in the 2016 State of the Network study, the top issues related to application monitoring in the cloud are reduced visibility and control, tracking end user experience, and SLA enforcement. Almost nine in 10 respondents cite each of these issues as being very or somewhat challenging.

In fact, for the first time in the study's nine-year history, the top challenge in application monitoring is no longer "isolating the problem to the network, system or application." Instead, 60 percent defined the primary issue as "tracking application bugs and patches."

For enterprises deploying or operating hybrid clouds, the move outside the internal data center presents significant risk of losing performance monitoring capabilities of resources spread across physical, virtual and cloud hosting environments. When it comes to comprehensive monitoring of an increasingly hybrid network environment, it's important for IT teams to work closely with application performance management vendors to keep a close eye on enterprise resources as they navigate this uncharted territory.


Hot Topics

The Latest

For decades, enterprise networks were designed around a simple assumption: work happened inside the office. Applications lived in centralized data centers, employees connected through internal infrastructure, and security focused on protecting the perimeter that surrounded everything ... But the way organizations operate today bears little resemblance to that environment. Cloud platforms host critical applications, employees connect from homes and airports as often as they do from offices, and partners collaborate through shared systems that exist far beyond corporate walls. In short, the corporate network no longer resembles the environment it was designed to protect ...

As an analyst who researches how IT organizations design, build, and operate their networks, I find that network data is a constant source of pain. Network teams struggle with data quality, fragmentation, authority, access, and trust. And these issues undermine everything they try to do. Here are the numbers: Only 45% of network teams are completely confident in the accuracy of their network source of truth, which documents the intent of their network ...

The 2026 Global Data Center Survey from Uptime Institute reveals an industry navigating workforce constraints, escalating outage expenses, even as rising costs remain the top concern for management teams ...

The next observability gap may not be in the code. It may be under the rack. That sounds strange until you think about how AI incidents actually feel in the middle of an investigation ... The application dashboard may be accurate. It may also be stopping at the wrong boundary. AI systems depend on software, but they also depend on a dense physical stack: racks, power paths, thermal margin, maintenance activity and, in many environments, liquid cooling. Those physical dependencies can change slowly before they look like a software incident ...

Certificate expiration is the rare outage you can see coming. Every TLS certificate carries the date it stops working, so the moment it will begin breaking connections is knowable in advance. That's what makes an expired certificate such a frustrating way to lose a service. What's changing now is how often that date comes around ...

Enterprises operate different combinations of workloads across cloud, hybrid and multicloud environments. For business-critical workloads, teams need to consider monitoring and observability early so they can detect health issues, investigate failures, and understand operational impact. Organizations place workloads on cloud platforms based on a combination of technical requirements, economics, existing dependencies, organizational standards, and business priorities. Their monitoring priorities therefore depend on what they operate and where those systems run. Those priorities will not look the same for every organization ...

Top-performing businesses prioritize data-driven decision making, enabling leaders to move from intuition and gut feel towards evidence-based judgment. But that judgment is only sound when the data underpinning decisions is accurate. With incident management, data accuracy is particularly important. Long-term revenue, customer trust, and operational stability depend on high-quality data that enables teams to quickly identify and address the root cause of major incidents. Against this backdrop, governance becomes a critical endeavor to ensure the right data drives the right action ...

In MEAN TIME TO INSIGHT Episode 26, Shamus McGillicuddy, VP of Research, Network Infrastructure and Operations, at EMA discusses network compliance ... 

Most production autonomous agents do not run in a vacuum. They run inside cloud infrastructure: virtual machines, containers, pods, managed clusters or private servers. That is where most operations teams start monitoring. Is the VM alive? Is the container running? Did the pod restart? Is memory stable? Is CPU too high? Did the health check pass? Those signals are useful. They tell you whether the shell around the agent is alive. They do not tell you whether the agent inside is actually operational ...

Enterprise IT environments have never been more observable ... Yet many organizations still grapple with outages, lengthy incident resolution cycles, and increasing complexity. Most teams do not suffer from a shortage of data. They struggle to determine what deserves attention and what action to take next ... Enterprise IT operations must move beyond monitoring and visibility. The next stage of maturity is decision operations, an approach that helps teams make faster, better-informed decisions ...