Cloud Computing Held Back By Business Worries

Cloud computing will only take off once the uncertainty surrounding it is addressed, experts have warned.

Cloud computing and storage has long been hailed as a way to cut enterprise IT costs. But despite its cost-cutting potential, many companies have expressed fears over the security of information stored in the cloud. Others still say they don't understand the point of the services it offers.

Industry experts say that market leaders and promoters in cloud computing must agree a set of standards and regulatory framework.

Computer World's Scott Stewart yesterday wrote: “Here is another new technology paradigm that is crying out for a set of common standard definitions and a global consensus of understanding.”

The main problem in getting people to use cloud-based services is that they are concerned about how the cloud would protect their private and business data.

Banks are among those most eager to move operations to the cloud in order to significantly reduce costs. Many are hesitant about doing so, though, fearing a backlash from customers and governing bodies.