IT Tips & Tricks
Cloud 2.0: What Lies Beyond “the Cloud”?
By Ed Clark
Published 30 April 2025
Did you know that the cloud has barely reached the legal drinking age? For example, Amazon Web Services (AWS) launched in 2006, and SharePoint Online was released in 2011, which means that, as of this writing, the cloud is a mere teenager. But will the cloud — as we know it — survive as-is, morph into something else or be replaced by something entirely new?
We all used to know exactly where the records of our lives were physically located. Photographs were either in albums or neatly stashed away in their photo-lab envelopes. Your LPs (long play vinyl albums), cassettes or CDs were probably lined up on a shelf, arranged either by genre or artist. Birth certificates, mortgage documentation, bank statements and the like were either efficiently filed away or, minimally, located in a messy pile somewhere in the house.
"Will the cloud — as we know it — survive as is, morph into something else or be replaced by something entirely new?"
But you knew where they were. Even business records were amassed in rows of filing cabinets or on shelves, sagging under the weight of years’ worth of overstuffed files. And now?
What do you have in place to defend against a data breach nightmare and its potentially expensive consequences?
So, what will come after the cloud? Currently, the entirety of the cloud is hosted in around 11,000 data centers dotted around the globe. But what will Cloud 2.0 look like? And in what ways will any changes to it affect those who are more “in the know,” technology-wise?
Note: As you know, there’s not just one homogenous "cloud". I ask for your indulgence in my use of this imprecise term which is done solely to facilitate speed of writing and ease of reading.
What Humans Love About the Cloud
For those of us in the IT or data management world, this short section contains stuff we take for granted. But to put the remainder of this article into context, I want to take just a tiny moment to bring to the forefront of our minds the benefits of the cloud as seen by the human race as a whole (at least those who are fortunate enough to have access to it). Then, I’ll get to the more interesting stuff, where I cover how the cloud’s features and conveniences will likely be expanded as we move to the next level (the Jetson-like future).
The current cloud is like a gymnast, a dog, a luxury vehicle and a Swiss bargain shopper all rolled into one. Why? Because the cloud delivers amazing flexibility, reliability, increased performance and efficiency, which helps to reduce IT costs.
Whether you’re on a flight, in a meeting, at the office or visiting your nanna in Boca, you can still work (on your phone, tablet or laptop), save your data to the cloud and collaborate with remote colleagues, which beats being stuck at the office, chained to your desk and restricted by the slow-as-cold-molasses local server which has been maintained by the same pale and weary man for the last decade. (Nobody even knows whether he actually shuffles out of the building at the end of each day to go home or simply sleeps upright in a corner of the server room.)
Your LPs (long play vinyl albums), cassettes or CDs were probably lined up on a shelf, arranged either by genre or artist.
And let’s also bring to mind the cloud’s amazing scalability. If it doesn’t seem amazing to you, ask someone born before 1980 to mentally look back at their experiences with computers in the 80s, 90s and early 2000s and describe to you how things used to be. I, myself, wouldn’t know about the old days, of course. (Good thing there’s no auto-generated Pinocchio emoji on my laptop.)
Spiky usage can lead to higher costs as resources need to be scaled up quickly.
With the cloud technology we enjoy today, it would literally be almost physically impossible to run out of storage space. I’m not suggesting that you put this to the test since it’ll cost you an arm and a leg, but you get the point, right? If your business (or Nanna’s collection of cat videos) is growing at an epic rate, your cloud storage can grow with you. Or shrink, if need be, during leaner times.
Of course, cloud collaboration has been a game-changer for organizations that require real-time, seamless teamwork regardless of location. And that easy scalability is another great feature. All in all, a lot to love.
7 Things We Love a Little Less (… or Not at All)
While there’s a lot to love about the cloud, it does have a few, um, drawbacks, and it’s precisely these drawbacks that have given rise to the perceived necessity for a next-gen cloud. You may have noticed some of these issues yourself:
1. Security Concerns
- Data Breaches: Cloud providers store massive amounts of data, making them attractive targets for cyberattacks. Why would threat actors scrounge for small change when they can steal a winning lottery ticket?
- Shared Responsibility Model: While cloud providers are responsible for security infrastructure, organizations are accountable for their data and applications. This division can potentially lead to misconfigurations and vulnerabilities. In the age of constant cybersecurity threats, the last thing your organization needs is an exposed soft spot that is attractive to the bad guys.
If you’ve migrated to SharePoint Online or some other cloud platform, you take satisfaction in knowing that you’re about as up-to-date and on-trend as you can be. At least for now. Maybe.
2. Vendor Lock-in
- Dependency on Provider: Once you’re heavily invested in a cloud provider’s services, migrating to a different provider can be difficult and costly. It’s a bit like a digital divorce — potentially expensive and unpleasant. (Helpful tip for those contemplating a data migration to the cloud: You wouldn’t try to handle a divorce without expert legal counsel, so why would you try to migrate without expert cloud migration counsel?)
3. Internet Dependency
- Reliance on Network Connectivity: Cloud services require a reliable internet connection, which can be challenging in areas with poor connectivity. Your options are either to stay on-prem or deal with a perpetually unreliable cloud service.
The “jam” we all hate: Cloud latency could be responsible for dangerous data traffic jams in the future.
While it’s understandable that developing countries or rural and remote areas might not enjoy the same connectivity that you and I do, it’s important to remember that even first-world areas experiencing political unrest, war or natural disasters will experience periods limited or no connectivity due to damaged infrastructure.
In California, for example, the recent wildfires have significantly impacted internet availability for hundreds of thousands of people due to the destruction of equipment, including power supply. (A generator that can deliver 100-150 watts and Musk’s Starlink — dish and router consume 50-75 watts — would come in handy in such situations.)
4. Limited Control
- Reduced Control Over Infrastructure: In a cloud setting, organizations generally have less control over the underlying hardware and software, which can impact performance and flexibility.
For example, in the early days of streaming, Netflix experienced significant performance issues due to limitations in the underlying infrastructure of its initial cloud provider. This led to buffering, slow loading times, and, ultimately, customer dissatisfaction. While Netflix eventually resolved these issues, it highlights the potential for performance bottlenecks when relying on shared infrastructure.
And in what ways will any changes to it affect those who are more 'in the know,' technology-wise?
5. Potential for Increased Costs
Without eagle-eyed scrutiny, cloud costs can escalate quickly. Careful planning and financial management are essential. It’s a good idea to keep the fat trimmed and avoid data sprawl. Examples of potential costs include:
Unnecessary Resource Usage:
- Underutilized Instances: Why run large instances when smaller ones will do?
- Idle Instances: Leaving instances (such as development environments or test servers) running when not in use is costly. It’s like the kids leaving the lights and TV on even when they leave the house.
- Unnecessary Data Storage: Storing large amounts of data that is rarely accessed or no longer needed is a frivolous — and avoidable — expense.
Data Transfer Costs:
When it comes to the cloud, you may have noticed or wondered about some of these issues yourself...
- High Data Ingress/Egress: Moving large datasets into and out of the cloud can rack up significant costs, especially for international transfers.
Service Usage Patterns:
- Spiky Usage: Sudden and unpredictable spikes in demand can lead to higher costs as resources need to be scaled up quickly.
- Unoptimized Database Queries: Inefficient database queries can quickly gobble up resources unnecessarily, leading to higher computing costs.
6. Performance Issues
- Latency and Bandwidth Constraints: Distance from data centers can impact performance, especially for latency-sensitive applications. Imagine the repercussions of an autonomous vehicle or high-tech machine suddenly being halted — mid-journey — because it’s waiting for data that’s loading, loading, loading…
7. Regulatory Compliance
Complying with complex data privacy regulations such as GDPR (General Data Protection Regulation), HIPPA (Health Insurance Portability and Accountability Act) and CCPA (California Consumer Privacy Act), to name just a few, can be tricky in a cloud environment. Consider the following:
- Shared Responsibility Model: You and your cloud provider share responsibility for security. This can lead to confusion and costly lawsuits about who is accountable for specific security measures, which potentially creates gaps in compliance.
- Data Sovereignty and Localization: Data stored in the cloud may be located in different jurisdictions, raising concerns about compliance with local data privacy laws. For example, GDPR requires that the personal data of EU citizens be processed within the EU or in countries with adequate data protection laws.
- Visibility and Control: Organizations may have limited visibility into how their data is stored, processed and protected by the cloud provider. This can make it more difficult for you to ensure compliance with regulations that require specific data-handling practices.
The last thing your organization needs is an exposed soft spot that is attractive to the bad guys.
- Third-Party Risks: Cloud providers sometimes use third-party services for various functions. This increases the potential for data breaches or other compliance violations. It’s up to you to ensure that these third parties also comply with relevant regulations.
- Rapid Changes in Technology and Regulations: The cloud environment is constantly evolving, with new technologies and services emerging regularly. Combined with data privacy regulations also being subject to ongoing changes, this can make it challenging to maintain compliance.
- Complexity of Cloud Environments: The overall complexity of cloud environments — with multiple services, configurations and integrations — can make it difficult to implement and maintain strong security controls.
For many, the cloud is fundamental to their digital survival, but for some, it’s simply not the be-all they’d hoped for, and alternative options need to be considered.
So, What Will Top the Cloud?
Answer: Your cloud.
Question: What’s the most likely technology to be headed our way in terms of a replacement or upgrade of the cloud?
Will the cloud of the future be orchestrated by AI?
Answer: Intelligent clouds. But it won’t be a singular anything. It will be a custom blend of several technologies, including edge computing, quantum computing, distributed systems, DNA data storage (yeah, the same “DNA” you’re thinking of right now) and AI-driven ecosystems, tailored to your exact cloud requirements.
While you’ve probably heard talk of most of these technologies, it’s the custom-blend aspect that, combined with newly emerging technology, has the potential to be a total game-changer. It won’t just be the cloud. It’ll be your cloud. Let’s take a very brief high-level look at each.
Artificial Intelligence-Driven Clouds
Is there a bigger buzzword in the world right now than ‘AI’? Of course, it’s already being used in a myriad of ways, but guess what? We’ve barely scratched the surface of AI capabilities in the cloud.
- The concept of “intelligent clouds” would use advanced AI to autonomously handle and distribute resources, predict user needs and ensure data integrity without constant human intervention. This means that employees can focus on more important and potentially profitable activities than merely babysitting their organization’s cloud account.
For many, the cloud is fundamental to their digital survival, but for some, it’s simply not the be-all they’d hoped for.
- While AI is already embedded in many cloud services, such as Amazon’s AWS, Google’s Google Cloud and Microsoft’s Azure, the constant growth of AI capabilities radically increases the potential for advanced analytics, machine learning and natural language processing tools that will enable businesses to gain unique insights from vast amounts of data. Imagine AI becoming your new business analyst and being able to share mind-blowing analytics with you that rocket organizational growth.
It may or may not be critical in your situation, but the distance between you and your data center can cause undesirable latency.
- As AI becomes more capable, it’ll most likely move from being a tool within the cloud to something that fundamentally orchestrates and optimizes it. AI-driven cloud platforms will be able to personalize user experience based on behavior and preferences, allowing for tailor-made cloud services and the automation of mundane tasks, resulting in greater efficiency, enhanced job satisfaction and increased profits for organizations. And frankly, why would any organization not want that?
Edge Computing and Fog Computing
- Edge Computing essentially shifts data processing to where it’s generated, at the “edge” of the network, which reduces latency and bandwidth usage. You’re already familiar with examples of this, such as a security camera that processes inputs (such as motion in the environment) and takes the required action (such as sending an alert to your phone) all by itself, rather than having to send the data to a computer located somewhere else which would have to process the data and send it back to the device for action.
This is great for machinery and apps that are latency-sensitive. It means safer autonomous vehicles, increased productivity through industrial automation and potentially more stable smart grids, where electrical supply fluctuates based on demand. And if you happen to partake in a little financial trading on the side, you can brag to your friends that edge computing will allow you to execute those trades at lightning-quick speeds, which may mean more profit in your pocket (or not).
Beyond the above-mentioned autonomous vehicles, industrial automation and smart grids, edge computing is also already used in the healthcare, retail, telecommunications and gaming industries.
It won’t just be the cloud. It’ll be your cloud.
- Fog Computing is similar in concept to edge computing but is essentially a step or two away from the edge. With fog computing, processing occurs in a network of devices such as routers, switches and gateways, rather than the processing being done on centralized cloud machines (cloud computing) or on the device itself (edge computing).
DNA data storage could be the next big thing.
This can better support real-time applications like autonomous vehicles and IoT (Internet of Things). As a bonus, with a distributed architecture, it’s also less likely that threat actors can access all your data all at once.
Currently, fog computing is used for smart traffic management, precision agriculture, healthcare monitoring, augmented reality gaming and more.
As the Internet of Things (IoT) continues to expand into new tech areas, edge and fog computing will go from being optional to being a non-negotiable necessity. Also, AI models will increasingly run on edge services to provide real-time analytics and insights. Additionally, organizations will be able to improve data privacy and security by storing sensitive data on edge systems instead of transmitting it to the cloud.
Expect to hear more about the integration of edge and fog systems into the “cloud” of the future.
Distributed Computing and Web3
Web3 — the Internet of the future — promises to be a more democratic, fair and secure Internet. We’ll see. While it’s already in use to some extent, it’s still early days and its full potential is yet to be realized. But the idea is that by removing intermediaries and decentralizing control, it empowers users with more ownership over their data, privacy and financial assets. However, it’s still in its infancy and challenges such as scalability, environmental impact, regulatory hurdles and other uncertainties (including politically vested interests) will need to be resolved.
- The movement toward decentralization with blockchain-based systems and Web3 initiatives is creating an Internet of Value, where users and decentralized systems — not central entities — manage data, assets and identities. This could completely reshape cloud-based services by moving control back to individuals and smaller nodes.
- Distributed cloud systems, like Gaia-X, are examples of “federated clouds,” meant to create independent yet interconnected nodes for more privacy, resilience and autonomy in data management.
- Some examples of the use of Web3 include decentralized finance and decentralized exchange options, the buying and selling of non-fungible tokens, decentralized social media platforms such as Mastodon and Diaspora, and Web3 browsers such as Brave and Opera.
What will Cloud 2.0 look like?
It’s worth noting that Web3 is still evolving and many of these apps are still in the early stages of development.
You may have noticed by now that Web3 is not the only technology on this list that focuses on decentralization and shifting control back to the individual — which seems to be a recurring theme when considering Cloud 2.0.
Quantum Computing
Don't mess with regulatory compliance. Fines for non-compliance can run into the millions.
While widespread and everyday use of quantum computers is still some time off, there are a few currently being used for specialized and groundbreaking research. It’s really expensive right now, but that will change (as it always does).
What's the difference between a classical computer, a supercomputer and a quantum computer?
Imagine you’re tasked with using technology to find the proverbial needle in the haystack. There’s 10,000 bales of hay and one needle. A classical computer will search through the hay — bale by bale — until it eventually finds the needle. A supercomputer is like having multiple people combing through the hay at the same time (perhaps up to a hundred or so people, for today’s faster supercomputers) but each person is still searching one bale at a time. How would a quantum computer approach this task?
A quantum computer can examine all the hay in all 10,000 bales simultaneously and instantly present you with your formerly missing needle.
Quantum computing is not just a faster version of classical or supercomputing, but a fundamentally different way of processing information (understatement).
How long until quantum computers are available for everyday use? That’s the million-dollar question — or the multi-billion-dollar question, given the current cost of quantum computing. For now, there is no single, definitive answer. Discover more about this weird universe in the article “Quantum Computing and Cyber Security: Are We 24 Months From Mayhem?”
Imagine the repercussions of an autonomous vehicle or high-tech machine suddenly being halted — mid-journey — because it’s waiting for data that’s loading, loading, loading...
Here are some areas where the potential of quantum computers is being considered:
- Quantum computing’s postulated ability to handle complex calculations exponentially faster than classical computers will enhance what can currently be achieved in the cloud. This would benefit fields like cryptography, logistics, artificial intelligence and drug discovery.
- Quantum and classical cloud architectures could be hybridized to maximize their combined potential.
Here’s an outline of how this could look:
- Complementary Strengths: Classical and quantum computers will, one day, probably enjoy a complementary relationship. Classical computing excels at everyday tasks, offering stability, scalability and efficiency for routine operations. Quantum computing, currently still emerging, will offer exceptional potential for solving highly complex problems that would be virtually impossible or too time-consuming for classical systems.
Expect to hear more about the integration of edge and fog systems into the “cloud” of the future.
However, the environmental sensitivity of quantum computers and their limited scalability are still challenges that restrict their widespread application — at least for now.
In the future, no doubt, it’ll be a win-win situation, with classical computers rocking the everyday workload while quantum computers specialize in the extraordinary.
- New Algorithmic Approaches: By combining quantum and classical computers, we’ll be able to create new types of algorithms that work together in harmonious symbiosis. This will potentially open up a whole new world of possibilities in computing, allowing us to solve problems we never previously thought we could. (Maybe we could finally solve the mystery of how, at least twice every calendar year, one of my socks goes into the wash and never returns. A sacrifice to the god of laundry, perhaps?)
Accelerated Scientific Discovery:
- Drug Discovery: Using a hybrid of quantum and classical computing, we’ll be able to simulate how molecules interact with incredible precision, leading to faster drug development and more effective medicines.
- Materials Science: A hybrid computing power will help us to design game-changing materials with custom properties, such as superconductors and high-temperature catalysts, pushing the frontiers of discovery.
- Financial Modeling: Combining quantum and classical computing could help create smarter risk assessment models that could dramatically boost investment strategies. (We should probably all be keeping an eye out for this one.)
10,000 bales of hay and one needle. A classical computer will search bale by bale. A supercomputer is like having 100 people combing through the hay but each one is still searching just one bale at a time. A quantum computer...
Technological Breakthroughs:
- Artificial Intelligence: Hybrid computing means we could train more powerful AI models — with enhanced learning capabilities and improved performance — on complex tasks. Just a couple of days ago, I caught part of a segment on Fox News where they were interviewing the owner of a company that has started using AI in an attempt to develop immunizations that prevent certain types of cancer. I have no idea how legit this will turn out to be, but wow.
It has the potential to store petabytes of data in microscopic samples.
- Cybersecurity: The combined and complex power of a hybrid computing style means we could develop stronger encryption algorithms. (See “Quantum Computing and Cybersecurity” for more details.) Suffice it to say that this is a must. You know cyber-criminals are using AI, so…
- Climate Modeling: We’ll also be able to create more accurate climate models to better understand and predict the effects of climate change. Note: In this article, I’m not going to go into the topic of causes of the current climate change. That would be a topic for a different type of article entirely.
Economic and Societal Impact:
- Increased Innovation: This new hybrid computing style could, no doubt, boost innovation across various sectors, resulting in exciting new products, services and industries. Can we even imagine what’s to come?
- Economic Growth: New jobs and opportunities — always good for the economy — could be created in quantum computing and related fields.
- Improved Quality of Life: A combination of quantum and classical computing could even help us find solutions to critical societal challenges such as disease and poverty.
Naturally, there are currently major hurdles to overcome. Developing smooth and efficient interfaces between quantum and classical systems is not an insignificant technical challenge. Also, scaling quantum systems — and ensuring their reliability — remain major challenges. Combine all of that with the urgent need for a skilled workforce with expertise in both quantum and classical high-performance computing and, clearly, this situation isn’t going to be resolved overnight.
Holographic and 3D Clouds
- As the use of mixed reality grows, holographic storage and 3D models could be game changers for users interacting with data in virtual spaces. This could lead to immersive data management and visualization capabilities, which are more interactive and tactile than current cloud interfaces. Time and emerging tech will tell this story.
Discover more about this weird universe in the article, "Quantum Computing and Cyber Security: Are We 24 Months From Mayhem?"
Biological and DNA Computing
- Biological computing, particularly DNA storage and processing, might emerge as a future “cloud-like” solution, especially for storing large amounts of archival data compactly and sustainably. Although still experimental, it has the potential to store petabytes of data in microscopic samples. Imagine replacing a 100,000-square-foot cloud data center because you can actually store all that data in a peanut butter-sized jar.
When You Wish Upon a Star
The future is inevitable, but are we ready for it?
Each of these advancements has the potential to create a wondrous new digital future for us all. Most likely, none — on its own — will replace the cloud but, in combination with one another and new tech, will complement or augment it, leading to a multi-faceted digital ecosystem where data is processed wherever it’s most efficient — whether in a quantum data center, on a local device, in a blob of DNA goop or a decentralized network.
It’ll certainly be a whole new environment, perhaps somewhat similar to the existing cloud — at least in concept — but more likely quite different in terms of customization, benefits and personalization. Sounds pretty smart.
Cloud 2.0. Are you ready for the future?
Ed Clark
LinkTek COO
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