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11:11 Systems 2023 Predictions: The Year of Optimization in Cloud, Security, and the IT Community


Industry executives and experts share their predictions for 2023.  Read them in this 15th annual series exclusive.

2023: The Year of Optimization in Cloud, Security, and the IT Community

By Brian Knudtson, Director of Cloud Market Intelligence, 11:11 Systems 

The tech industry naturally goes through cycles of expansion and contraction, innovation and consolidation. 2022 was a year of extremes sometimes on both sides of the spectrum. Ransomware set annual records again, cloud adoption continues to grow, the IT job market grew like crazy before quickly turning into layoffs, and we witnessed the implosion of social media giants and cryptocurrencies. As we look forward to the start of a new year, the future inevitably feels closer, so let's dig into those four areas to see what the next 12 months may give us.


Digital transformation has been a driving force in the IT industry over the last three years. This seems likely to continue, which means more value will be available to further entice cybercriminals. Expect another record-breaking year of ransomware.

Finding solutions to stop these criminals and recover from their attacks seems like it will lead us to remain in the current cycle of innovation within the cybersecurity space; however, there are signs of consolidation with a high number of acquisitions and layoffs lately. Personally, I think this is more of a sign of unsustainably high growth and innovation being contained by fears of a coming recession.

Once capital becomes more accessible again (I give no predictions on when this will happen!), I expect the cybersecurity industry to go back into a mode of high innovation and growth. 2023 could be an interesting year of many product choices and job opportunities.


Cloud computing is another area that has been driving the IT industry for nearly a decade. After the huge move to the cloud over the pandemic, adoption will continue in 2023, but I expect it will begin to slow. Some organizations may realize they moved workloads into the cloud that may not be best suited there. Some amount of repatriation will provide a small hit to net growth of the cloud.

Similarly, organizations will realize their initial move to the cloud may not have been the ideal cloud solution or will require some optimization. Thus, organizations will start to move applications around the cloud to find the ideal place to host the application, similar to how on-premises data center are a collection of best-of-breed solutions. This will lead to the need for more multi-cloud management solutions.

Shifts in IT community

As I write this, Twitter appears to be quickly imploding and Meta's valuation is dropping. This will lead to big challenges for IT communities, since many of them are heavily based on online interactions, and these communities will each need to find a new place to gather.

Mastodon seems to be taking off as the popular alternative to Twitter, particularly with the infosec community, though it's hard to know if it will be the same sized watering hole that Twitter became.

I think the more likely result will be a significant number of private or semi-public communities via technologies like Slack and Discord. As someone who helped build the community around VMware, I think this is unfortunate. Hopefully those communities will be highly welcoming, actively recruit new people, and will be structured in a way to handle the volume of a large community.

IT employment

The first half of 2022 was a boon for IT professionals looking to make job changes, improve their pay, and accelerate their career. Unfortunately, that came to a screeching halt later in the year as companies started to prepare for harder financial times.

We'll likely see a normalization somewhere in the middle of those two extremes early in 2023, but there are still pockets, like cybersecurity, where there is still very much a high demand for talent. This lack of talent for individual companies will likely lead to strong service provider growth in 2023.

In a lot of ways, 2023 is going to be a year of normalizing due to the rollercoaster of the pandemic. Hopefully it will leave us all in a much better place.



Brian Knudtson, Director of Cloud Market Intelligence, 11:11 Systems


In his 20-year career, Brian has experienced many different perspectives of the IT industry having worked as a customer, value-added reseller, vendor, and service provider, including roles in web development, system administration, post-sales deployment, pre-sales architecting, public cloud design, and technical marketing. Currently, Brian is the Director of Cloud Market Intelligence at 11:11 Systems. He has been a long-time member of the VMware community, occasionally blogging at and tweeting at @bknudtson.

Published Thursday, November 17, 2022 11:10 AM by David Marshall
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