Key AI and Cloud Computing trends that will evolve in 2025
By Dan Wright (pictured), General Manager, Cloud & Connect, Atturra Managed Services
As Artificial Intelligence (AI) continues to revolutionise industries, the intersection between AI and cloud computing is becoming a critical area of focus for businesses.
During 2025, several trends are expected to shape how organisations leverage these technologies to stay competitive, efficient, and innovative.
Understanding the economics of AI
AI’s transformative potential comes with significant computational demands, often making on-premise setups uneconomical. The solution is shifting workloads to cloud platforms which allows businesses to rent compute resources as needed. This model provides scalability and cost-efficiency, enabling organisations to adopt AI without the prohibitive upfront costs of building infrastructure.
Another notable trend is the adoption of “GPU as a service,” where businesses use the advanced processing capabilities of private clouds to power AI workloads. This approach not only mitigates the capital expenditure required for infrastructure but also addresses the skills gap many organisations face. By outsourcing AI management to cloud providers, companies can focus on innovation rather than operational complexities.
For boards facing these trends that lack a defined AI strategy, the time to act is now. The pace of AI advancement is so rapid that organisations without a clear roadmap risk being left behind, struggling to catch up with competitors who have integrated AI into their operations.
The battle of the titans: Azure v AWS
The cloud computing space is dominated by two giants: Microsoft Azure and Amazon Web Services (AWS). This duopoly is set to persist in 2025 as these providers continue to leverage their global scale and vast resources to enhance their offerings. However, this concentration of power also means that smaller cloud providers have an opportunity to provide innovative solutions focused on business outcomes of their clients needs.
The cost dilemma of public cloud versus hybrid cloud
Public cloud platforms are often the go-to choice for deploying AI workloads due to their convenience and flexibility. However, many organisations face “bill shock” upon realising the true costs of their resource usage. In 2025, this financial challenge will prompt an increasing shift toward hybrid cloud models.
A hybrid cloud approach combines the benefits of public cloud services with private cloud infrastructure and on-premise resources. This model offers cost savings, greater control over data, and the ability to scale operations quickly. For many businesses, it represents a balanced strategy, blending flexibility with financial prudence.
Navigating cloud security
As AI adoption grows so do concerns about security and, during 2025, cloud and hybrid platforms must address increasingly complex security requirements. The key challenge lies in tailoring security measures to specific infrastructures as there is no universal solution. Businesses must strike a balance between protecting sensitive data and maintaining operational efficiency.
With cyber threats becoming more sophisticated, organisations will need to invest in advanced security protocols and partnerships with cloud providers who prioritise robust defences. Proactive measures, such as automation, regular audits and adopting zero-trust models, will become industry standards.
Energy challenges and sustainable solutions
The energy-intensive nature of AI and cloud computing is emerging as a pressing concern. Data centres, particularly those supporting GPU-as-a-service models, require vast amounts of power. To address this challenge, cloud providers are increasingly locating data centres near low-cost energy sources and sustainability will thus play a pivotal role in shaping the future of cloud computing.
The road ahead
These trends highlight the dynamic relationship between AI and cloud computing. For organisations, the path forward involves more than just adopting these technologies – it requires strategic planning, adaptability, and a focus on long-term sustainability.
Businesses must prioritise the following factors:
- Developing a clear AI strategy to ensure competitive relevance
- Carefully assessing cloud providers to align with their operational and financial goals
- Investing in hybrid cloud models to optimise costs and scalability
- Strengthening security measures to protect valuable data assets
- Embracing sustainable practices to address energy challenges.
As we move through 2025, the interplay between AI and cloud computing will redefine industries. Organisations that embrace these changes proactively will position themselves as leaders in an increasingly digital and data-driven world.
