
Lessons Learned from Shadow IT
02/13/22 • 31 min
1 Listener
Shadow IT and start-ups were the original users of public cloud, over a decade ago. But as public cloud has become a multi-billion dollar business, let’s explore how the role of Shadow IT has evolved.
SHOW: 591
CLOUD NEWS OF THE WEEK - http://bit.ly/cloudcast-cnotw
CHECK OUT OUR NEW PODCAST - "CLOUDCAST BASICS"
SHOW SPONSORS:
- Datadog Kubernetes Solution: Maximum Visibility into Container Environments
- Start monitoring the health and performance of your container environment with a free 14 day Datadog trial. Listeners of The Cloudcast will also receive a free Datadog T-shirt.
- Teleport is the easiest, most secure way to access all your infrastructure
- Get started with Teleport
- CloudZero - Cloud Cost Intelligence for Engineering Teams
SHOW NOTES:
- Shadow IT
- Why Software is Eating the World (WSJ, 2011)
- “Does IT Matter” (Nicholas Carr, 2014)
- Bi-Modal IT (Gartner, 2015)
DOES SHADOW IT STILL EXIST IF PUBLIC CLOUD IS MAINSTREAM?
Shadow IT began as a way to be more productive in the office (server under the desk, WiFi in a conference room, etc.) and then it went to the cloud (SaaS, the IaaS/PaaS). But how did it evolve and what situations has it created now?
WHAT DOES THE NEW DISTRIBUTED IT LOOK LIKE NOW?
- Everybody has the ability to get access to (almost) any technology, via open-source or public cloud, or freemium services.
- Everybody has the ability to learn something new (YouTube, ACloudGuru, Developer Evangelists, etc.
- IT organizations have less influence over company-wide architectures and strategies.
- IT still is often tasked with maintaining applications/security/compliance, even after another group deployed it.
- IT leaders are asked to lead digital transformation projects, and typically aren’t staying in the same place for more than 2-3 years. How much of that time is spent coordinating, communicating, re-organizing around DevOps, DevSecOps, FinOps, AIOps, etc..
- There are hybrid applications, but they aren’t hybrid in the sense of consistently being deployed everywhere to manage vendor lock-in.
- There are many multi-cloud companies because IT no longer has a boundary. And the economics of cloud means that most applications won’t move once deployed (easier to turn off than to move).
- There are many, many pains-of-glass.
FEEDBACK?
- Email: show at the cloudcast dot net
- Twitter: @thecloudcastnet
Shadow IT and start-ups were the original users of public cloud, over a decade ago. But as public cloud has become a multi-billion dollar business, let’s explore how the role of Shadow IT has evolved.
SHOW: 591
CLOUD NEWS OF THE WEEK - http://bit.ly/cloudcast-cnotw
CHECK OUT OUR NEW PODCAST - "CLOUDCAST BASICS"
SHOW SPONSORS:
- Datadog Kubernetes Solution: Maximum Visibility into Container Environments
- Start monitoring the health and performance of your container environment with a free 14 day Datadog trial. Listeners of The Cloudcast will also receive a free Datadog T-shirt.
- Teleport is the easiest, most secure way to access all your infrastructure
- Get started with Teleport
- CloudZero - Cloud Cost Intelligence for Engineering Teams
SHOW NOTES:
- Shadow IT
- Why Software is Eating the World (WSJ, 2011)
- “Does IT Matter” (Nicholas Carr, 2014)
- Bi-Modal IT (Gartner, 2015)
DOES SHADOW IT STILL EXIST IF PUBLIC CLOUD IS MAINSTREAM?
Shadow IT began as a way to be more productive in the office (server under the desk, WiFi in a conference room, etc.) and then it went to the cloud (SaaS, the IaaS/PaaS). But how did it evolve and what situations has it created now?
WHAT DOES THE NEW DISTRIBUTED IT LOOK LIKE NOW?
- Everybody has the ability to get access to (almost) any technology, via open-source or public cloud, or freemium services.
- Everybody has the ability to learn something new (YouTube, ACloudGuru, Developer Evangelists, etc.
- IT organizations have less influence over company-wide architectures and strategies.
- IT still is often tasked with maintaining applications/security/compliance, even after another group deployed it.
- IT leaders are asked to lead digital transformation projects, and typically aren’t staying in the same place for more than 2-3 years. How much of that time is spent coordinating, communicating, re-organizing around DevOps, DevSecOps, FinOps, AIOps, etc..
- There are hybrid applications, but they aren’t hybrid in the sense of consistently being deployed everywhere to manage vendor lock-in.
- There are many multi-cloud companies because IT no longer has a boundary. And the economics of cloud means that most applications won’t move once deployed (easier to turn off than to move).
- There are many, many pains-of-glass.
FEEDBACK?
- Email: show at the cloudcast dot net
- Twitter: @thecloudcastnet
Previous Episode

Understanding & Managing Committed Cloud Spend
Tim Banks (@elchefe, Principal Cloud Economist @duckbillgroup) talks about how public cloud providers are offering committed spend programs, and ways to best use their programs to manage cloud spending.
SHOW: 590
CLOUD NEWS OF THE WEEK - http://bit.ly/cloudcast-cnotw
CHECK OUT OUR NEW PODCAST - "CLOUDCAST BASICS"
SHOW SPONSORS:
- New Relic (homepage)
- Services down? New Relic offers full stack visibility with 16 different monitoring products in a single platform.
- Usage.ai (homepage)
- Start saving up to 57% of your AWS EC2 spend in under 5 minutes with Usage AI. No code change, no downtime, no engineering work required.
SHOW NOTES:
Topic 1 - Welcome to the show. You’ve got a very interesting background of hands-on technical and being on the business side of things. Tell us a little bit about your background and what you focus on at Duckbill Group.
Topic 2 - Let’s start by talking about this trend of long-term cloud contracts. Why are we seeing more and more announced, and who does it seem to benefit more (cloud provider or customer)?
Topic 2a - How do companies typically size these deals? Is it some percentage of current spend forecasted forward, or some aspirational goal, or something else?
Topic 3 - When a company signs up for one of these long-term committed spend contracts, what are the mechanics of the contract? Is it just “all-you-can-eat” technology, or do they tend to include additional capabilities/services, etc?
Topic 4 - What have you found to be the behavior of companies that sign these contracts? Does it lead to more projects getting created, or more experimentation, or any other unintended consequences?
Topic 5 - At what point do companies start re-evaluating the contracts? What happens if they find themselves way below expected spending expectations?
Topic 6 - Have you seen any new behaviors from the cloud providers once they sign a contract, whereas one group (or service) is pushing hard to capture a bigger portion of the contract?
FEEDBACK?
- Email: show at the cloudcast dot net
- Twitter: @thecloudcastnet
Next Episode

Cloud Cost Intelligence
Erik Peterson (@silvexis, Founder/CTO/CISO @CloudZeroInc) talks about how Cloud Cost Mgmt has matured, the importance of business context for cloud costs, and best practices for managing SaaS costs.
SHOW: 592
CLOUD NEWS OF THE WEEK - http://bit.ly/cloudcast-cnotw
CHECK OUT OUR NEW PODCAST - "CLOUDCAST BASICS"
SHOW SPONSORS:
- Usage.ai (homepage)
- Start saving up to 57% of your AWS EC2 spend in under 5 minutes with Usage AI. No code change, no downtime, no engineering work required.
- New Relic (homepage)
- Services down? New Relic offers full stack visibility with 16 different monitoring products in a single platform.
- BMC Wants to Know if your business is on it's A-Game
- BMC Autonomous Digital Enterprise
SHOW NOTES:
- CloudZero (homepage) - Cloud Cost Intelligence
Topic 1 - Welcome to the show. You have a very interesting background. Tell us a little bit how you’ve gone from Nuclear watchdog to Banking to Product guy to Security guy and now focus on Cloud costs.
Topic 2 - Let’s start by talking about maturity levels of companies using the cloud. Engineering teams are fairly mature, but how mature are product teams, finance teams, marketing teams, etc, especially when it comes to understanding cloud costs in their world?
Topic 3 - Cloud Cost Mgmt used to be all about when to use on-demand vs. Reserved Instances. Have the systems evolved to be more contextual - (example) so marketing teams can run experiments and product teams can make smarter feature priority decisions?
Topic 4 - We’re seeing a lot of companies moving from selling software to delivering their capabilities as a SaaS offering. This is a big change in the economics of that business. How can those types of teams think about cloud costs?
Topic 5 - How much of Cost Mgmt is systems vs. people that understand the contexts of costs? What is your perspective on how much should be automated systems vs. human expertise to augment automated systems?
Topic 6 - What are some of the most common mistakes you see companies make around Cost Mgmt, or some tips you give to immediately help companies better spend on Cloud
FEEDBACK?
- Email: show at the cloudcast dot net
- Twitter: @thecloudcastnet
If you like this episode you’ll love
Episode Comments
Generate a badge
Get a badge for your website that links back to this episode
<a href="https://goodpods.com/podcasts/the-cloudcast-190008/lessons-learned-from-shadow-it-19453566"> <img src="https://storage.googleapis.com/goodpods-images-bucket/badges/generic-badge-1.svg" alt="listen to lessons learned from shadow it on goodpods" style="width: 225px" /> </a>
Copy