Expert: Economic conditions driving enterprises to the cloud

February 2, 2012

Many experts have varying opinions regarding which cloud service will expand the most this year and if the public or private cloud is better, but nearly all IT professionals agree that cloud computing is quickly becoming a mainstream IT solution.

In a recent ZDNet report, columnist Alan Priestley examines several trends driving businesses and government organizations to the cloud. According to Priestley, cloud adoption will expand this year and throughout the near future because current economic conditions are forcing businesses to implement IT solutions that require less capital and operational costs. The cloud enables enterprises to decrease costs by providing them with on-demand services, making it unnecessary to invest in expensive infrastructure software licenses.

"The past few years have seen cloud computing increasingly accepted as a form of service delivery," Priestley explained. "In fact, you might say this could be the year of the cloud service provider. It's a time of opportunity for service providers as companies and organizations look for ways of battening down the financial hatches."

The report said small and medium-sized businesses will implement public clouds, as they desire the ability to remotely access enterprise applications, email and other everyday functions. Experts say cloud adoption among SMBs will increase in the coming years because products like Software-as-a-Service enable them to gain several benefits without making long-term investments.

Additionally, Priestley expects European governments to follow the United States and United Kingdom's lead in supporting widespread cloud adoption in federal agencies. However, he predicts many businesses will continue implementing private clouds, as several business sectors still crave the ability to manage their own critical data.

The European Commission recently announced the formation of the European Cloud Partnership, a conglomerate of cloud providers, users and officials created to devise ubiquitous cloud standards for European nations. Several experts have commented on the cloud's capacity to reduce IT costs, making the technology a popular solution to improve bottom lines.

-McAfee Cloud Security