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NSA Scandal May Cost US Cloud Market $35 Billion by 2016 as Companies Move Data to Other Countries

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Today’s IP news roundup highlights some of the latest headlines in cloud computing, mobile app development and more:

However, the article also warns that concerns about government spying could impact the outsourced cloud services industry on a global level. For more information on how the NSA scandal may impact global cloud services, see Computerworld.

  • Windows developers lack tools and skills to meet demand for mobile apps. According to a study by Dimensional Research and Embarcadero Technologies, “While a majority of Windows developers are experiencing great demand for mobile development, the actual delivery of these apps is being compromised due to the cost and complexity associated with supporting multiple platforms.” The study of 1,337 Windows developers revealed that 85% have requests to develop mobile apps and 99% must support existing apps. Meanwhile, 74% of Windows developers have had challenges using HTML5 and JavaScript to deliver mobile apps. For more information on Windows mobile app challenges, see the Embarcadero Technologies press release.
  • The cloud-enabling technologies (CET) market will grow from $10.6 billion in revenue in 2012 to $22.6 billion by 2016. According to a study by 451 Research, the CET market is witnessing “increasing levels of adoption and remains nearly twice the size of its cloud computing ‘as a service’ cousin.” The study revealed that virtualization has 66% of the market share. Meanwhile, security will see the highest compound annual growth rate through 2016 at 29%, followed by automation and management at 28%. For more information on the CET market overview analysis, see 451 Research’s website.
  • And finally … IT’s lack of knowledge about building a business case may hinder cloud adoption. According to an article on InfoWorld, the average enterprise budget for cloud technology and services is over $10 million. However, problems can arise “when IT tries to define the business case for cloud computing along with its request for funding. Generally speaking, people in IT are still very unsophisticated with their thinking around the use of cloud-based technology and its true benefit to the business.” The article recommends that IT think more strategically about how cloud can help your business be more innovative and agile – as opposed to just talking about how the cloud will save you money on hardware and software. For more information on building a business case for cloud, see InfoWorld.

What is your take on today’s news? Feel free to share your opinions below.

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