Mapping Cloud Computing’s Future Success in the Asia Pacific Market
Analysts expect IP cloud services worldwide to at least double in the next five years. This comes after staggering growth in the industry in the last five years. In fact, growth in the cloud computing industry tripled in the period from 2007 to 2012 and it shows no signs of slowing down. This is because the technology brings fundamental changes which are responsible for breaking ground in areas previously unexplored.
The financial crisis had an enormous, positive impact on the cloud services industry
While many businesses suffered greatly from the worldwide financial crisis, cloud services providers actually saw benefits to their proposed business model. This is because what those providers offer businesses is a way to cut costs while also maintaining their current quality of service. A slower economy makes such cost cutting measures especially attractive to companies. How can costs be reduced with cloud computing? This is done by a different type of model where users only pay for resources that are actually consumed. In this way they can ensure that no resources are wasted.
Looking at newer offerings in the cloud computing market
Due to its great potential, some of the world’s foremost technology companies have started to jump into the cloud services business. In recent years, we have observed some of the biggest names start to offer cloud solutions, including Amazon, Microsoft, Dell, and Apple. This is because cloud computing is not only an emerging technology, it is a prime business opportunity. This is especially true in the Asian market, which traditionally has always had a higher than normal demand for new technologies.
What does cloud computing have to offer to future businesses? It is ideal for businesses that require servers that are custom made, optimized, and that operate on a large scale. This applies both to hardware and software. Combining both means that businesses can have access to optimized hardware and software solutions, optimizing their IT infrastructure to suit their specific needs. This allows businesses to save by only acquiring the services and features that they need.
The Asian market is aware of the potential of cloud computing
The cloud services industry today is poised on the edge of a key developmental point. IaaS and SaaS services are at a point where there is an ideal balance between quality, security, and affordability. This is especially ideal for small and medium businesses in the Asian market, particularly in countries like Malaysia, Indonesia, and Philippines. In fact, small businesses in Asia are aware of the potential of cloud computing and many are evaluating the use of this technology in their business. Surveys have shown that a high percentage of companies in the region have already adopted, or plan on adopting cloud technology for their IT operations in the next year.
The combination of rapid growth in this technology, the emergence of new companies providing cloud services in the region, and the increased demand point to a scenario where the Asia Pacific region could quickly develop an IT market with a level of growth and competition never seen before. This is especially true because the advance in cloud computing is not only driven by cloud technology advances and specific products, there is a combination of market forces that has led to this positive situation:
1. Businesses are searching for the funds needed for growth in market segments that are very important for cloud technology service providers.
2. There are entrenched problems associated with finding these funds and carrying out growth in the traditional manner. However, the shortcomings associated with the traditional approach are not enough to dissuade established businesses from adopting them.
3. There is pressure from competitors that have adopted the new technology because they have very little to lose and almost everything to gain by adopting it.
The combination of these market forces has meant that cloud computing will drive the market for the next decades, especially in the Asian market. This is especially true because the growth of cloud technology is not driven by product fads, or passing phenomena; it is driven by a real economic need in the market for these kinds of services.
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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.
