Sunday, July 19, 2009

What’s next big for enterprises on cloud?

Let’s start with a very positive note on the future of Cloud computing adoption based on a recent report from Gartner. Gartner report says that business spending on software as a service (SaaS) will rise 22% in 2009 to $9.6 billion. This undeniably is a big relief to all the large cloud players and enablement community who are bullish on the service revenues projected in their business plans.

Sharon Mertz, research director at Gartner, said,
The adoption of SaaS continues to grow and evolve within the enterprise application markets as tighter capital budgets in the current economic environment demand leaner alternatives … and interest for platform as a service and cloud computing grows. "
"Adoption of the on-demand deployment model has grown for nearly a decade, but its popularity has increased significantly within the last five years. Initial concerns about security response time and service availability have diminished for many organizations. As SaaS business and computing models have matured, adoption has become more widespread.”

So where is this going to come from? Are enterprises still experimenting with the cloud? While we all agree that salesfoce.com has been a huge success on the cloud within the enterprises, what could be the next big business applications on the cloud post this?
Sharon continues

“Many factors are driving adoption of SaaS, including the benefits of rapid deployment and rapid ROI, less upfront capital investment, and a decreased reliance on limited implementation resources."

The latest mandate for the CIO’s and their IT strategists is to balance the allocation of their sparse IT budget to maintain the existing IT assets and to invest in latest technologies to prepare employees with modern communication and collaboration capabilities. All new investments in IT should generate a high return on investment with predictable cost models without compromising the end user productivity. There are also thoughts of easing the existing management and operations burden of their own IT staffs for them to focus more on identifying areas of driving the business.

Given the scenario is the decision going to be simple? It is not as IT can’t afford anything which could lead to unplanned downtime or errors or compromise on the data security and compliance. But what is the way to start in the short term without any compromise and enjoy the benefits of rapid deployment and rapid ROI ?

Enterprise messaging and other business productivity suites (real time communications or the instant messaging, interactive web /video conferencing, intranet sites for document sharing and collaboration) are coming out amongst the initial choice for the enterprises. Major cloud players like Microsoft and Google have already matured offering in this space to cater to these requirements to replace the current on premises software within the enterprises performing these functions today.

These can also be integrated with other software’s /applications within the enterprises with ease and provide a streamlined experience to the end users. They also guarantee interfaces for simplified management while providing high availability and completely secure to comply with the enterprises norms and requirements.
To continue..

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