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23% of IT Budgets Go to Cloud Services [Study]


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Today’s IP news roundup highlights some of the latest headlines in all things cloud:

  • Cisco’s “Impact of Cloud on IT Consumption Models” study stated that IT will increase cloud spending from 23% this year to 27% by 2016. The survey of 4,226 IT leaders across nine countries, including Canada, also revealed that private cloud is the most common deployment method. Meanwhile, 79% of respondents “believe that IT is moving toward a more automated, self-service approach where provisioning follows an ‘app store’ model. Our findings point to a need for IT to provide flexible consumption, self-service options, and an array of capabilities to lines of business.” For more information see the “Impact of Cloud on IT Consumption Models” study.
  • Cloud revenue will reach just under $20 billion by 2016, according to a 451 Research report. This represents a compound annual growth rate of 36%. The “Cloud Computing: Overview Report 2013” also revealed that infrastructure-as-a-service (Iaas) accounted for more than half of the total public cloud market share, while SaaS represented 25% and platform-as-a-service (PaaS) accounted for 24%. For more information, see the  “Cloud Computing: Overview Report 2013” press release.
  • An article on the InformationWeek Cloud blog warns that “the adoption of cloud computing brings with it a series of changes that directly impact the IT workforce. Failing to account for those changes can reduce the value of the cloud and increase IT costs and dysfunction.” According to the article, these changes include new employee expectations, as today’s employees use cloud services at home and expect to use similar services at work. The article recommends that IT departments “start small by offering a few new services in the catalog, and constantly iterate over the new processes until you find the right balance between compliance with organizational standards and the necessity to think of service delivery in a new way.” For more human costs of cloud adoption, see InformationWeek.
  • And finally … the Cloud Credential Council (CCC) launched certification programs to help meet the growing demand for trained cloud professionals. According to CRN.com, “The CCC program offers five professional-level certifications in cloud administration, cloud development, cloud security/governance, cloud service management and cloud solutions architect. The first classes will take place Sept. 10-12 in San Jose, Calif.” For more information on the cloud certification programs, see CRN.com.
  • And finally … successful businesses of the future must master cloud. According to an article on the Business 2 Community blog, cloud is one of the key forces that are shaping how we do business. The other key forces are social networks, mobile computing and analytics – together known as SMAC. The article states, “This confluence of technology has created an environment for production at a faster rate, together with customer interaction. With the consumer technology model penetrating and transforming the corporation in significant ways, the creation of hyper-intelligent software programs that are able to tackle a number of issues has transformed business models across the world and SMAC stack is a striking example.” For more information on these trends, as well as tips on what to look for in SMAC service providers, see Business 2 Community.
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