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Half of Asias senior execs favour cloud computing: IDC

Ross O. Storey | March 5, 2009
Uptake of cloud computing is strong, says IDC

SINGAPORE, 5 MARCH 2009 - Cloud computing is being used, or considered, by more than half Asia Pacifics senior IT executives and cost-cutting is the key driver, according to new IDC research.

Some 11 per cent of those surveyed are already using cloud-based solutions and a further 41 per cent are either evaluating or piloting cloud computing solutions.

Cloud computing has been defined as the use of a third party service to perform computing needs on a publicly-accessible IP basis. A cloud service can include products, services and solutions that are delivered and consumed in real-time over the Internet.

Cloud computing services are usually performed in consolidated Data Centers to keep costs low while improving overall utilization.

The IDC survey involved 696 IT executives and CIOs across Asia Pacific excluding Japan (APEJ) to gather their views, understanding, current usage and planned usage of cloud computing.

Threefold growth

The survey concluded that worldwide IT spending on cloud services will grow almost threefold, reaching US$42 billion, by 2012. IDC predicts that spending on cloud computing will accelerate throughout the forecast period, capturing 25 per cent of IT spending growth in 2012, and nearly a third of growth the following year.

There is, however, still uncertainty about the cloud computing concept. A total of 47 per cent of the respondents to the survey felt that cloud computing was too immature at this point to judge (22 per cent) or believe it was an interesting concept but would be resisted by their company (25 per cent). Seventeen per cent said it was very promising but there are not enough services available.

Eighteen per cent felt that cloud computing was just renaming of an old concept while 10 per cent regarded it as a very exciting opportunity.

Future uptake of cloud computing looks strong, said Chris Morris, director for IDC's Asia Pacific services research and lead analyst for cloud computing research in Asia Pacific.

Over the next three years, as the use of cloud services expand from the domain of early adopters to that of the early majority, it becomes critical for IT vendors to develop strong cloud offerings, and play a leadership role in aligning their new cloud products and services with their organization, their traditional offerings, partner ecosystem, and customer and market requirements.

IT vendors who fail to seriously contend for a leadership role will be left with a minority share of the lucrative pie."

IDC's inaugural Asia Pacific Cloud Computing Conference 2009 will be held across eight major cities, starting with Singapore next week, during March and April 2009, focusing on the key theme Preparing for the Next 20 Years of IT.  


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