MSP Today Expert Feature
May 18, 2011

About One Third of Enterprise IT will be Cloud-based by 2015: Research


A research from WaveLength Market Analytics and Winn Technology Group finds that the U.S. cloud computing market is poised for strong growth, mainly because an increasing percentage of enterprise information technology is now becoming cloud based.

The research, “Five Key Themes in Enterprise Cloud Computing Migration,” finds that 58 percent of medium and large enterprises are already using or planning to use the Cloud.

According to the research, Cloud Pioneers, those enterprises that actively use or pilot some type of Cloud solution, comprise about 41 percent of that market. Cloud Planners, who are planning to implement a Cloud solution, comprise another 17 percent.

“Penetration of Cloud computing into IT is only at the beginning of a very rapid, high-growth phase,” said Natalie Robb, of WaveLength Market Analytics, in a statement. “Cloud Pioneers and Planners expect Cloud’s percentage of IT to grow from around 10 percent in 2012 to 30 percent by 2015.”

Technology and telecom providers, who are looking to improve solutions, nurture the right prospects, and reach enterprise buyers, need to understand what sets Cloud Pioneers and Planners apart from Cloud Stragglers, Robb added.

Software-as-a-Service (SaaS (News - Alert)) is the most common cloud solution implemented by Cloud Pioneers and Planners. Platform-as-a-Service (PaaS) follows with 54.8 percent. Hosted private Cloud scores 32 percent while Infrastructure-as-a-Service comes to about 26 percent. The research predicts that in the next two years, enterprise IT buyers expect to use more private, public, and hybrid Clouds.

Pioneers and Planners will increasingly use Cloud for mission-critical applications and functions such as supply chain, Tier-1 storage, and unified communications. Cloud Pioneers worry most about network delays while Planners worry about solutions management, such as remediation tools, integration with existing IT resources, reporting and management tools.

 A recent report from In-Stat (News - Alert) finds that Cloud computing and managed hosting spending by U.S. businesses will surpass $13 billion in 2014. The professional services and healthcare verticals will see the largest growth in spending on cloud computing services, growing over 124 percent between 2010 and 2014.

Want to learn more about cloud communications? Then be sure to attend the Cloud Communications Summit, collocated with TMC’s (News - Alert) ITEXPO West 2011, taking place Sept. 13-15, 2011, in Austin, Texas. The Cloud Communications Summit will address a growing need of businesses to integrate and leverage cloud based communications applications, process enhancement techniques, and network based communications interfaces and architectures. To register, click here.




Rajani Baburajan is a contributing editor for TMCnet. To read more of Rajani's articles, please visit her columnist page.

Edited by Jennifer Russell




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