Will SaaS Backup Become a Vital Business Requirement by 2028?

September 4, 2024

As the digital landscape continues to evolve at breakneck speed, enterprises worldwide are witnessing an unprecedented dependency on Software-as-a-Service (SaaS) applications to drive their operations. Gartner has projected a significant shift in the importance placed on SaaS backup and recovery within the next five years. By 2028, the research firm anticipates that a staggering 75% of businesses will prioritize SaaS application backup as a core business necessity, driven by the increasing risk of IT outages coupled with substantial growth in SaaS investments. In Australia alone, SaaS spending is projected to nearly reach $11 billion in 2024, a leap of 18.3% from the previous year—largely fueled by the ongoing trend of application modernization and the transition to cloud-based business applications.

Changing Priorities in Data Protection

Historically, the task of protecting and recovering SaaS applications has not topped the agenda for many enterprises, often overshadowed by other IT priorities. Yet, this scenario is set to undergo a significant transformation as the market for SaaS application backup expands. Michael Hoeck, Gartner’s Senior Director Analyst, underscores the urgency of this shift, highlighting how essential regular backup and recovery practices are in protecting enterprise data. SaaS data remains vulnerable to human errors, cyber-attacks, and even potential mishaps from vendors themselves. Hoeck strongly advocates for robust backup solutions as indispensable tools for safeguarding sensitive SaaS data against these threats.

Organizations aiming to protect their SaaS-based data effectively must proactively incorporate data protection and recovery capabilities into their governance assessments of SaaS applications. This involves rigorously evaluating SaaS vendors’ capacities to secure and recover data in every conceivable loss scenario, ensuring that these critical functions are well-integrated within the firm’s overall governance framework. Complementing native capabilities with third-party SaaS backup solutions is also advisable where feasible, helping to cover gaps and enhance data protection robustness.

Impact of Hybrid Cloud and AI on Data Protection

The imperative for comprehensive data protection extends beyond the SaaS realm, particularly in an era increasingly dominated by artificial intelligence and complex digital ecosystems. Trends such as the expansion of digital preservation capabilities by companies like DatacomIT and the burgeoning growth in Australia’s server and storage market are prime examples of this broader trend. The double-digit growth in the market, majorly driven by hybrid cloud adoption and infrastructure modernization, highlights the pervasive need for reliable data backup and recovery solutions across various IT infrastructures.

As enterprises march towards modernization, the hybrid cloud model becomes more prevalent, presenting both opportunities and challenges for IT departments. Hybrid cloud infrastructure necessitates seamless integration and robust data protection strategies to ensure business continuity and data integrity. Companies must also adapt to the rising tide of AI-driven applications, which further compounds the complexity of data management. As artificial intelligence becomes more ingrained in business processes, the risk profile of integrated systems also increases, making the case for diligent and regular data backups ever more compelling.

Toward a Secure Cloud-Based Future

The need for thorough data protection extends well beyond the Software as a Service (SaaS) sector, especially in an era dominated by artificial intelligence and complex digital ecosystems. Companies like DatacomIT expanding their digital preservation capabilities and the rapid growth in Australia’s server and storage market exemplify this broader trend. The market’s double-digit growth, primarily driven by the adoption of hybrid cloud solutions and infrastructure modernization, underscores the vital need for reliable data backup and recovery strategies across various IT systems.

As businesses push toward modernization, the hybrid cloud model gains prominence, presenting both opportunities and challenges for IT departments. Hybrid cloud infrastructure requires seamless integration and strong data protection strategies to ensure business continuity and data integrity. Additionally, companies must adapt to the increasing use of AI-driven applications, which adds another layer of complexity to data management. As artificial intelligence becomes more embedded in business processes, the risk profile of integrated systems rises, making regular and diligent data backups more crucial than ever.

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