Splunk: Predictions 2023

Leadership Trends & Emerging Technologies

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Key Findings & Analysis

Splunk CEO Gary Steele states that there has never been a recession in the US with such a tight labour market, making it difficult to predict how this cycle will play out.

Ammar Maraqa is hopeful that the current situation won't lead to one of the doomsday scenarios and confidence plays an important role in predicting economic factors.

In APAC, inflation is present but intense competition for talent is more urgent than fear of recession.

Europe is seeing clouds on the horizon while Petra Jenner notes all economic factors except employment point towards recession.

Companies may need to layoff people as part of restructuring due to some having overinvested early on during pandemic demand spikes.

Companies will focus on value when making investments, rather than experimentation.

Organizations are being more nimble with their funding and focusing on results.

Tech investments must deliver real value quickly to be successful.

Leaders need better advice and easier use from technology partners for data extraction success.

Cost optimization is a priority in the adoption of next generation techs with a clear business case.

Digital experience should be improved as customers have many options available online.

Resilience is more than just a buzzword, it requires strong security and standardization of tools and data to achieve.

Organizations are modernizing their monitoring capability to true observability with fewer tools or vendors.

Digital transformation is increasingly focusing on operational resilience for customer experience and business growth.

Automation will help organizations scale efficiently while dealing with rising cyber attacks.

Deglobalization pressures continue due to pandemic & political tensions, leading countries to restrict flow of data & voice concerns about digital sovereignty.

92% of data collected in the West is housed in United States, and no European company among top 20 global tech brands.

Organizations are stripping out privacy data & anticipating laws that regulate privacy & data residency more strictly.

Companies comfortable making their own data residency & privacy protections ahead of regulation.

Rise in data volume has contributed to deglobalization; organizations will have to think local for cybersecurity & data strategies.

Deglobalization will get harder as companies need to be creative with adapting & relying on vendors’ help.

Remote work remains common due to pandemic, but businesses seeking return to normalcy with focus on value/measurable outputs contributing bottom line.

Unemployment low giving workers leverage; Great Renegotiation here where workers search for mission driven WFH roles

Remote work taboo has been broken, mutual benefits of flexibility will remain.

Workers are confident and will ask for changes or go elsewhere.

Younger workers want to join organizations with a clear purpose and vision.

Corporations must align their social and environmental statements with action to attract/retain top talent.

In IT/Security tight labor market won't change regardless of economic environment; companies need creative approaches & different backgrounds rather than specific certifications/degrees for front line positions in SOCs.

Dhiraj Goklani notes an aging population in Asian markets, which necessitates smarter recruiting and automation/AI to address the lack of STEM graduates.

Splunk Executive Predictions 2023 suggests tech teams need to train on core principles, not just tool skills; suppliers need to build talent ecosystems and make products easier to use.

AI/ML was identified as a potential value for predicting behavior given IT & security talent shortage.

ML simplifies and improves business outcomes from performance to security detection.

Move to cloud happening, with complexity of on-prem and in the cloud as well as AWS and Azure.

Edge computing is key for automation & ML driven solutions that keep data where it is instead of moving it back & forth.

Blockchain will be important for authentication, contracts & supply chains; Web3 applications being explored by businesses.

Large language models are next transformative AI/ML technology; startups offering capabilities as a service, eg GitHub Copilot translating plain English goals into code.

Copilot can generate a first draft of code, saving time and extending limited talent.

OpenAI GPT-3 is powering tools like GitHub Copilot & Google's DeepMind has developed AlphaCode for writing computer programs.

ML models as a service are becoming available, allowing people to interact with systems more in English without having to understand underlying complexities.

In 3 - 5 years translating speech or text directly into action will be possible.

Increased concerns about ethical AI will create roles to train and maintain ML models.

Transparency is necessary for fairness and other values in ML pipelines.

Model cards provide brief documentation on an ML model, including its uses, limitations, data/methods used to train it & bias considerations.

Bias checklists could be part of standard quality assurance process when rolling out a model or with additional data over time.

New jobs such as AI ethicist & prompts engineer may arise due to increased concern w/AI ethics.

ML community will take a few years to figure things out, but standards and best practices on trust and transparency in ML are expected.

Self regulation is seen as better than waiting for lawmakers. Responsible AI initiatives have been launched.

In the short term businesses need to make progress with AI/data ethics, but regulations will vary by region or country.

NFTs gained attention due to digital art sales, but soon it'll be used for more such as degrees & certifications, titles for car/house etc; hype cycle has passed & technological applications continue developing.

Blockchain hacks already happening - not tech issue, rather human element causing problems like Solana hack last summer costing users $4.5 million+.

Cryptocurrency theft is estimated to reach $1.9 billion in the first half of 2022, despite blockchain's purported unhackability.

Negligent security practices and flawed updates to smart contracts have been identified as causes of digital attacks on blockchains.

Cybersecurity experts warn that more incidents are likely due to a lack of resilience measures in the industry and vast amounts of money circulating through blockchain networks.

Digital agreements will increase efficiency, unlocking new products and services that surpass traditional analog counterparts.

DLT helps create more efficient and trustworthy agreements than ink signatures or single, easily modified databases.

Smart contracts will drastically increase the speed of business compared to current inefficiencies.

DeFi is an innovation that involves smart contracting and digital assets, allowing new ways to recognize, secure and exchange value.

Blockchain technology enables unique digital assets which changes concepts of ownership & validation revolutionarily.

AR and VR technologies are the underlying technology for a Snow Crash reality.

AR is being used to map driving routes, overlay data on equipment repair and provide information on historic buildings.

VR applications include gaming, military training, pilot training and medical training.

Companies in Asia are investing in VR to improve customer experience with apps for the metaverse.

South Korea's youth culture will drive interest in virtual reality entertainment/esports.

Data challenges related to managing large amounts of data from immersive experiences must be addressed: networking, analytics, privacy/security & observability concerns need solutions.

Quantum computing is cost-prohibitive today due to infrastructure and programming model challenges.

Cybersecurity will be impacted by quantum computers’ ability to break modern cryptography, making communications insecure.

Biden Administration & Congress are pursuing quantum technology and NIST is working on post-quantum cryptographic standards.

Digital experience has become central to how people live; digital resilience requires a holistic approach with automation for scaling expertise.

Converging technologies and organizational structures enable better cyber resilience, entering a golden age of cybersecurity outcomes.

Younger workers are demanding companies stand for something more than pure profit.

Business Roundtable redefined corporation purpose to benefit all stakeholders, not just shareholders.

Data will be relevant to every corporate development goal and can help meet environmental and social outcomes.

Splunk contributors include VP of Observability in APAC, SVP & GM in EMEA, Senior Manager of Security Solutions Strategy and others with deep security background or experience at Microsoft/Salesforce/Oracle/Citibank etc.

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