There has been a great deal of talk about cloud computing over the past year or two. It seems ironic to me that the recession has slowed down the pace of adoption of this technology because, amongst many other benefits, cloud computing can and will save organisations millions in their IT budgets.
The difficulty seems to stem from an understandable reluctance of many IT departments and companies to commit to making what seems like a non-essential investment while the recession looms large.
There are conflicting reports from the Analysts about where cloud computing is going, Merrill Lynch estimates that within the next five years, the annual global market for cloud computing will surge to $95 billion. Meanwhile in a Goldman Sachs survey less than 2 percent of the respondents (CIO’s) said cloud computing was a priority. For what its worth, my opinion is that cloud computing will be mainstream within the next two to three years and many companies will forego capital expenditure in favour of the utility server model.
Charles King, an analyst with Pund-IT, said technologies like cloud computing deployments may slow down. “The message here is CIOs are looking primarily to tested, well-understood technologies that can result in savings or increased business efficiencies whose support can be argued from a financial point of view,”.
It does seem that CIOs and business executives don’t understand the value and cost benefits of cloud computing. Perhaps then IT consultants need to take a step backwards and focus on what will grab the attention of IT leaders - “Cost Cutting” (yes its a dirty word but hey!!!). After all, the recession hasnt dampned the need for more computing power, storage and connectivity.
My advice is, if you are an IT consultant, go out and educate your clients on the many benefits of cloud computing and help them to understand that it is a win-win proposition. If you suceed, not only will you be helping your clients save money, cut carbon emmisions and get incredible flexibility, you will also probably fill your diary for years to come.
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#1 by Kurt Jarchow on June 1, 2009 - 12:09 pm
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I think the big taboo with many managers is the idea of hosting data externally on these services. Unless they are convinced it is safe it’ll be hard to make the shift.
I’d be willing to bet though that data is just as safe on cloud services - those companies wouldn’t be around very long if it wasn’t!
#2 by Sam Elison on June 13, 2009 - 12:40 pm
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Excellent points raised. A global market of $95 billion is certainly worth going after from a consultants view-point.
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