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Wednesday, 30 April 2014

Why are Organizations shifting to Cloud Technology?

Over the last few years, cloud computing has been a focal point of discussion in the IT industry and the global adoption of this technology has not been one without apprehension. Businesses have often cited security, data privacy, regulatory concerns and integration with existing systems as some of the key inhibitors to the adoption of cloud computing.

Despite the challenges, more and more businesses are realising the advantages of cloud computing and making a concerted effort to implement the technology.

According to industry analyst Gartner, 30 per cent of IT companies from the Global 1000 organisations will integrate, aggregate and customize two or more cloud services for internal and external users by 2014, up from the current five per cent.

Closer to home, the uptake of the technology has gathered such momentum that the implementation of cloud now features as a top priority for CIOs. Cloud services in the MENA region will be strong across all cloud services market segments through 2017. According to industry research, Software as a service (SaaS) is expected to grow 29.2% in 2013 to $102m and then grow further to reach $271m in 2017. IaaS is expected to grow from $60m in 2013 to $138m in 2017.

The emerging scenario indicates a demand not just for deploying the technology but also for cloud solution providers that understand the complexity of enterprises and offer solutions that address the challenges of legacy system integration. CIOs are looking at innovative provisioning, scalability and faster time to market as some of the benefits from the adoption of cloud. In addition to facilitating shared resources and reduced investments on hardware, these services allow companies to buy capacity-based options – a key imperative for growing businesses as they move online and require rapid provisioning.

The market is already inundated with private, public and hybrid cloud models. However, the adoption of the type of cloud depends on the organisation’s nature of business, overall IT strategy and application workloads. Needless to say, there is no one-size fits all solution in the cloud space.

The region is particularly witnessing a significant uptake of private cloud services where a virtual data centre can be hosted on highly redundant infrastructure with the capability to dynamically scale the computing and storage capacity.

Another catalyst for cloud services is the growing phenomenon of Bring Your Own Device (BYOD). According to a Gartner report, about half the world’s companies will adopt BYOD programs by 2017. This is prompting the growth of cloud computing as organisations look to provide employees with secure remote access to the organisation’s data and applications without increasing deployment costs.

It is indeed a fact that voices in favour of cloud technology are gaining traction. Seeking to close the gap, service providers are quickly implementing solutions and customising their services to meet industry needs and individual organisational challenges. What lies ahead is undoubtedly an interesting phase. It will ultimately validate the region’s maturity to responding to evolving demand for cost effective solutions that offer uninterrupted and secure computing.

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