What 2012 Meant for Cloud… and What Lies Ahead
There is no question that cloud computing has played an important part in the tech industry in 2012. New start-up companies were popping up every few days with some kind of innovative cloud service. Studies predict that cloud computing technology will be a major source of revenue and employment worldwide by 2015 with some experts boldly declaring that every computing function will be in the cloud come 2020!
Whatever your view on the above, there is no doubt cloud technology will be a major driving force in the technology market in years to come.
Important cloud computing developments from the past year
The demand for full time IT professionals specializing in cloud computing has exploded in the last year, more than three times 2009 levels. Companies have migrated to the cloud to reap reduced costs, higher efficiency, and a lesser need for personnel and resources. Studies show that agility, reduced costs, and scalability are still the most important factors for companies looking to adopt cloud. While SaaS is still the most important cloud service (in which companies invest most), PaaS and IaaS services are gaining traction and, by 2017, are expected to grow dramatically.
There are still obstacles in the adoption of cloud services. Many companies still hold doubts about security. Other problems include government regulations, compatibility and vendor issues. However, these factors are quickly becoming irrelevant as new companies find technological solutions on a regular basis. In 2012, five key sectors benefited from cloud computing considerably: media, mobile technology, social media, data storage and handling, and online commerce.
Security concerns are being alleviated by new cloud service providers. Enterprise-facing software, archiving services, and cloud backup services have allowed many businesses to ensure cloud will not place their data at risk. Cloud collaboration looks to be one of the most promising cloud services in the next few years. 2012 saw a massive investment in cloud technology, with more than seven billion dollars driven into cloud start-up companies by venture capitalists.
Cloud computing to grow dramatically
According to studies by Microsoft, cloud computing is expected to help create fourteen million jobs in the next few years, many of these in southeast Asia. Investors can also expect massive revenues of around 1.1 trillion dollars every year after 2015. Thanks to the savings that cloud offers, IT spending is only expected to grow sixteen percent, while jobs will increase by double that.
The Southeast Asian market, in particular Singapore and Malaysia, is an especially attractive target for cloud computing investors. Many of these countries act as global business hubs thanks to their privileged position geographically, advanced infrastructure, and business-friendly governments. This helps create a positive feedback loop where increases in cloud investment trigger job creation which in turn allows cloud computing to continue growing.
Although private investment will undoubtedly influence growth, it is in public clouds where most innovation and investment will occur in the next few years. The year 2015 is considered a turning point in the future of this market. However, with the accelerated pace of new developments in cloud technology, advancement may actually occur faster than expected.
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About the Guest Author:
Nida Rasheed is a freelance writer and owner of an outsourcing company, Nida often finds herself wanting to write about the subjects that are closest to her heart. She lives in Islamabad, Pakistan and can be found on Twitter @nidarasheed.
