Flexera’s 2025 State of the Cloud Report

29/04/2025
Flexera’s 2025 State of the Cloud Report.

The Flexera 2025 State of the Cloud Report sheds light on cloud computing trends, the pressures facing IT professionals and the strategic initiatives they’re using to remain competitive in today’s dynamic and evolving landscape.

This year’s report shows that more enterprises are leveraging FinOps to manage costs as cloud growth continues unabated—despite some repatriation to on-premises. Artificial intelligence (AI), software licensing and sustainability in the cloud are all getting increased attention. At the same time, the battle for dominance between Amazon Web Services (AWS) and Microsoft Azure is still neck and neck

Key highlights

Organizations still embrace multi-cloud 

  • 70% of respondents embrace hybrid cloud strategies, using at least one public and one private cloud
  • Multi-cloud adoption is steady, with enterprises leveraging multiple cloud providers
  • AWS and Microsoft Azure remain dominant, but Azure leads among enterprises, while AWS dominates SMBs
     

Public cloud adoption continues to accelerate 

  • 33% organizations are spending more than $12m per year, vs. 29% last year
  • 34% of enterprises are spending more than $1m per month on SaaS
  • 13% of SMBs anticipate increasing workloads in public cloud (the largest expected increase in the history of the report)
     

Optimizing cloud cost continues to dominate

  • Cost efficiency is the #1 metric for assessing progress against cloud goals, increasing from 65% to 87%
  • The workload migration metric used to measure progress has increased increased significantly from 36% to 78%
  • Cost avoidance jumped from 28% to 64% this year (which can be achieved via proper license management)
     
Key highlights

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