The cloud market is entering a new phase. As AI workloads scale, multicloud environments become more complex, and data sovereignty requirements continue to evolve, organizations are reassessing the role cloud infrastructure plays in their business strategy.
A June 2026 Forrester Consulting study commissioned by Vultr surveyed 270 North American cloud decision-makers and found that enterprises are increasingly looking beyond traditional hyperscalers to gain greater flexibility, control, and resilience.
AI is accelerating infrastructure modernization
Organizations are under growing pressure to modernize their IT environments. According to the study, 81% of respondents cited infrastructure modernization as a top priority, while 76% identified AI adoption as a key initiative for improving employee efficiency.
As enterprises move from experimentation to production AI, infrastructure decisions are becoming increasingly strategic. Organizations need scalable, flexible cloud environments that support high-performance computing, data-intensive applications, and rapidly evolving business requirements.
Cloud expectations are rising while satisfaction declines
The study found that organizations place the highest value on security, scalability, and performance when selecting a cloud provider.
Yet many organizations report that their current providers are not meeting expectations. Nearly half of the respondents indicated they were only somewhat satisfied or dissatisfied with their provider’s performance for traditional workloads. Similar concerns were reported for AI and machine learning workloads.
At the same time, organizations continue to experience operational challenges, including outages, limited visibility across cloud environments, and growing complexity as cloud footprints expand.
Security and cost remain top concerns
As cloud adoption grows, so do concerns about risk and spending.
Seventy percent of respondents expressed concerns about security and risk associated with their cloud providers, while two-thirds cited high costs as a major challenge.
Organizations also face talent challenges. More than half of respondents reported a lack of sufficiently skilled personnel to manage AI and machine learning workloads effectively.
Alternative cloud providers gain momentum
Against this backdrop, alternative cloud providers are gaining attention.
One-third of organizations surveyed plan to improve their IT infrastructure by adopting an alternative cloud provider. Rather than relying exclusively on hyperscalers, enterprises are increasingly evaluating providers based on workload-specific requirements, performance goals, and operational flexibility.
What organizations expect from alternative cloud providers
As interest grows, expectations for alternative cloud providers are rising.
In the study, respondents identified several areas where alternative cloud providers could deliver meaningful value. These findings suggest that enterprises are not simply looking for additional cloud options. They are seeking infrastructure partners that can address the limitations they experience with traditional providers while supporting the next generation of AI-driven applications.
The future of cloud is choice
The cloud market is becoming more diverse, and enterprise strategies are evolving alongside it.
For enterprises building the next generation of AI-powered applications, the future may not belong to a single cloud provider. It may be part of a cloud strategy that combines the best capabilities of multiple providers to meet evolving business needs. Download the study and explore more.