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Managing costs to realize the potential of cloud and generative AI

Dec 14, 2023 - venturebeat.com
The drive towards cloud adoption is increasingly propelled by the desire to leverage the potential of AI, particularly generative AI, according to Tony Korolis, senior product marketing manager (Azure) at Microsoft. His team has observed a shift in customer demands, with more and more customers seeking to use the cloud to take advantage of AI and build innovative new products and services. Korolis predicts that the number of AI-focused customers may soon overtake the number of migrating customers coming through Microsoft's Azure offerings.

However, Korolis warns that many companies assume cost savings will automatically occur with cloud strategies, but it takes effort and governance to realize a return on investment. He emphasizes the importance of planning, stating that successful customers often spend months in the planning phase before engaging an implementation partner. He also highlights the need for training and upskilling staff, particularly in AI, and the value of certifications like Azure AI engineer. Microsoft's Azure Migrate and Modernize & Azure Innovate offerings aim to help customers accelerate their cloud aspirations by providing expert guidance, partner funding, Azure credits, migration tooling, and technical skilling.

Key takeaways:

  • The drive towards cloud adoption is increasingly propelled by the desire to leverage the potential of AI, particularly generative AI, according to Tony Korolis, senior product marketing manager (Azure) at Microsoft.
  • Many organizations are assuming cost savings will automatically happen with cloud strategies, but it takes effort and governance to realize a return on investment. The costs involved with cloud computing include the initial investment in technology, professional services to implement a solution, consumption costs, and the expense and time required to train staff.
  • Organizations should divide and conquer to be successful in their cloud and AI strategies. Some teams should continue migrating on-premises workloads while others should be encouraged to experiment on new projects.
  • Azure Migrate and Modernize & Azure Innovate offer customer benefits like assessments, pilot/proof-of-concepts and deployment assistance from experts. These offerings help customers accelerate their projects based on proven approaches used by thousands of other customers.
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