Cloud adoption influenced by business needs and data security, not cost reduction and revenues

Cloud confidence among business decision makers is being increasingly influenced by its ability to meet business needs, augment data security and data sovereignty as opposed to costs and revenues.

Related: Cloud adoption: concentrate on the customer’s needs, says Amazon CTO

The findings, which were published by managed service provider Claranet, illustrated that even though cost reduction and improved revenues weren’t at the top of the list of priorities, both were still achieved through cloud adoption.

“When we talked with IT decision makers about the extent that they felt their objectives had been reached, none put cost ownership and reduction as a big factor. However, 81 per cent cited that the reduction of capital expenditure had been achieved in the adoption of cloud computing and 77 per cent said improvement in cashflow has been achieved,” Simon Bearne, head of sales and marketing at Claranet, told CloudPro.

Claranet’s survey, which questioned 300 IT decision makers and directors, is the third annual version and the change in attitudes over that time has been stark. Back in 2011, when the results were first published, it showed that decision makers thought that public cloud adoption would grow due to lower costs associated with full adoption.

“The most obvious thing from the research is when we first conducted it two years ago, cloud wasn’t mainstream, because of the cost concerns and issues around adoption,” Bearne added.

Cloud adoption has now morphed into a situation where there is a higher level of adoption in projects geared towards enterprise IT and an upsurge in hybrid services that shows customers using their initiative by utilising both on-premise and off-premise solutions instead of wholesale cloud adoption.

Related: Cloud adoption helps UK councils hit green targets

One of the major concerns among IT decision makers is still data privacy and data security and to this end Bearne thinks that transparency will stifle these concerns. Though 69 per cent already agree that cloud computing poses an equal or lesser security risk than traditional on-premises only solutions.

Global IT spending is being driven along at a significant rate of knots by cloud adoption and figures at the back end of 2013 showed that it is the key to it eclipsing $2 trillion [£1.2 trillion] in the coming 12 months.

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