The latest edition of The Forrester Wave™: Cloud Cost Management And Optimization (CCMO) Solutions, Q3 2024 has been published! This comprehensive report reflects an extensive evaluation process, including detailed briefings, customer interviews, and multiple iterations of scoring.
This report is an update from the 2022 edition, evaluating the top 12 vendors in the CCMO space: Broadcom, CloudBolt Software, CloudZero, Flexera, Harness, IBM, Kion, Morpheus Data, NetApp, Nutanix, OpenText, and Virtana. Each vendor was rigorously assessed across 25 criteria, focusing on their product capabilities, strategy, roadmap, and commercial model. If you’re in the process of evaluating your current CCMO tool or selecting a new one, this report is an invaluable resource.
Key Trends and Insights:
- Hyperscalers Taking the Lead: The native cloud management solutions of the past have evolved significantly. Today, major cloud providers like AWS, Azure, and Google Cloud are setting the standard for CCMO capabilities, surpassing many third-party tools in areas such as serverless and GPU right-sizing, as well as cost-performance trade-offs between Graviton and x86 instances. With these features becoming increasingly API-accessible, organizations now have the option to build semi-DIY CCMO solutions if they have the technical expertise and motivation.
- Importance of FOCUS Support: At the recent FinOps X event, the FinOps Foundation announced the general availability of the FinOps Open Cost and Usage Specification (FOCUS) Version 1.0—a unified specification for cloud billing. This Linux Foundation-backed open-source project is a major development, with all three hyperscalers actively involved. AWS, Azure, and Google Cloud have all implemented FOCUS support, enabling users to standardize multicloud billing data. CCMO vendors that haven’t yet adopted FOCUS are at risk of falling behind, as this specification is quickly becoming the industry standard.
- Generative AI in CCMO – A Future Promise: Over the past 18 months, there has been a surge in interest around generative AI, including within the CCMO space. While some vendors have started incorporating generative AI into their solutions, it’s important to recognize that its value in CCMO is still emerging. Currently, generative AI in this context primarily enhances search functionality, helping users find functions, identify cost anomalies, or generate reports more easily. The true potential of generative AI in CCMO is expected to unfold in the coming years.
The landscape of FinOps and cloud cost management is evolving rapidly, with FOCUS leading the charge. As billing standardization advances and hyperscalers continue to enhance their capabilities, CCMO vendors will need to differentiate their offerings beyond multicloud visibility and optimization. The next 12 months promise to be an exciting period for end-users as they navigate the choice between building semi-DIY solutions using native cloud management tools or opting for third-party solutions.
Explore the Full Report
To dive deeper into these trends and explore the full evaluation of the top CCMO vendors, download The Forrester Wave™: Cloud Cost Management And Optimization (CCMO) Solutions, Q3 2024 report today. This insightful resource will help you make informed decisions about your cloud cost management strategy and tools.
You can also grab a free copy of the report from Apptio.