How Companies Value the Cloud

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Every now and then, we run across something that makes us scratch out heads and wonder.  We saw an article recently that made us do precisely that.

A new survey quoted in CIO.com says most mid-market companies still view cloud computing as a complement, not a replacement.  The survey found that more than half of the companies surveyed are not pursuing a cloud computing initiative.  However, it was the headline that had us more than a little confused:  it read, “Value of the Cloud Overstated.”

With all due respect, we think they’re significantly missing the point.  We’re seeing a number of companies come to us for help in implementing cloud-based strategies.  While the survey claims fewer than four percent of the companies they surveyed have implemented a cloud solution, we believe the number to be much higher, based on the number of companies of all sizes that have come through our doors asking us to help them move to the cloud.

Some of those companies are seeking to move their data to the public cloud; others want to implement a hybrid cloud solution, where they keep control of some corporate-critical data and applications internally, while outsourcing other information to us.  And some firms have realized that they can significantly benefit from outsourcing their entire IT infrastructure to us, and letting us manage it through the cloud.

The benefits are clear:  lower implementation costs, faster implementation time, OpEx costs stabilized, continued “future-proofing” upgrades conducted at no additional cost and the ability to grow or shrink capacity as demand changes.  All of which allows our customers to concentrate on what they do best, and allow their IT personnel to focus on things more critical to their firm’s central purpose.

By contrast, there’s the survey conducted earlier this year from Bitcurrent.  Roughly one-quarter of the respondents worked at publicly-traded or Global 2000, multi-national corporations; 16 percent were CEOs.  One-third of respondents said they had either “some use” or “heavy adoption” of a private Infrastructure as a Service (IaaS) implementation; an astounding 53 percent said they were using a public IaaS deployment.  We’re willing to bet the executives at these firms don’t regard cloud computing as “hype.”  Rather, we’re pretty sure they see the value.

The lesson from all this is pretty clear.  As an executive at your firm, you should be checking out how and if cloud computing will benefit your company.   It may be good to help you run more efficiently, or may not be what you need quite yet. Remember that there’s not “one size fits all” implementation model for the cloud:  our “Hi-Touch” consultants work with firms of all sizes to help them meet their requirements, and improve their functionality.

And you don’t need a survey from anyone to understand the benefits that can bring to your bottom line.