Cloud Exits
===========

The silver linings are fading—and a broader exodus is brewing

![](https://assets.brentturner.is/_fitWide1600/9664/cloud-exits-on-the-new-new.webp)

For years, cloud computing has been hailed as the revolutionary future of technology—merging innovation with the promises of cost savings and agility.

Today, the wave of enthusiasm for public cloud — those powered by AWS, GCP, Azure, and others — is dissipating.

Many enterprises are questioning whether public cloud solutions are as effective, cost-efficient, and strategically aligned as advertised. The anticipated productivity gains haven’t always materialized. Concerns about vendor lock-in are rising as companies become wary of being beholden to a single provider’s ecosystem.

[Cloud-first and cloud-centric business strategies are now being reassessed.](https://www.infoworld.com/article/2514293/the-next-10-years-for-cloud-computing.html?ref=thenewnew.is)

In turn, **on-premises hardware data centers and colocation solutions are making a comeback**.

A high-profile example is 37signals, the makers of Basecamp, Hey, and more. They [“de-clouded” their hosting](https://dev.37signals.com/bringing-our-apps-back-home/?ref=thenewnew.is) early this year, leaving AWS and GCP behind.

Their result?  
By managing their own servers, they are already [generating significant benefits](https://world.hey.com/dhh/why-we-re-leaving-the-cloud-654b47e0?ref=thenewnew.is) for their business, especially cost savings.

**How will the cloud providers respond?**

It will start by reducing costs and embracing openness. We will see more promotion of interoperability and how they are helping their customers avoid ecosystem lock-in.

And, of course, there is AI.

[Integrating AI](https://thenewnew.is/i/147850496/ai-integration-race?ref=thenewnew.is) into cloud platforms is expected to drive growth, but this may only be a reprieve rather than a long-term solution. As Apple, Microsoft, and Google are showing their ability to run AI on laptops, the ability to run AI through on-premises hardware is achievable today.

When the hype fades, cost-effectiveness and practicality are always the keys to long-term success ([right, Airbnb](https://www.aol.com/airbnbs-struggles-beyond-people-spending-091301841.html?ref=thenewnew.is)?).

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This post was included in _The New New_.

Expore Issue 35 on **thenewnew.is**

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