LSE: Companies must take notice of cloud computing’s long term benefits

Cloud computing’s long term benefits are being ignored by most companies that are instead placing prominence on what can be achieved in the short term.

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London School of Economics [LSE] professor Will Venters told the Cloud World Forum in London that cloud computing is “years ahead” of the current level of IT and companies shouldn’t compare the two.

“What some business want from cloud and what cloud is truly offering are different things,” he told journalists at the Cloud World Forum in London, according to CloudPro.

Companies in the current climate look upon the short-term goals of economy, simplicity, agility and innovation above anything else and simply ignore the scalability and consumerisation that the cloud is renowned for.

A survey carried out at the LSE event asked IT professionals what the main reason for looking at the cloud is and 28 per cent stated that cost is top of the list. Venters commented on this by stating that even though low costs are a minimal requirement “we drastically overestimate the short term benefits compared to the long term.”

One example given by Venters was back when hard disks holding a minute 10MB retailed at over £3,000 and people flocked to buy thousands of them due to the fact that at the time 10MB was more than enough storage.

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“If you gave an industry professional a 1 TB drive back then, they wouldn’t have known what to do with it,” said Venters. “In the same way, to view the cloud as an equivalent to current IT is short sighted."