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Korean government puts its weight behind local cloud

Steve Hodgkinson | Jan. 14, 2010
Koreas Communications Commission has announced commitment of over US$500 million to the development of Korean cloud computing facilities.

It is essential that all governments develop proactive development strategies for cloud computing, along the lines illustrated by the Korean initiative. In particular, it is essential that the often separate policy levers of industry development and government procurement are operated in unison. Investment to stimulate local industry development needs to be coupled with procurement policy initiatives to put government demand on the table for local cloud providers to create g-clouds.

Cloud computing is a build it and they will come game for the brave hearted. Few national players are in the position of Amazon, as legend would have it, of being able to launch global cloud services as a by-product of their core business. Up-front investment is required to kick-start and accelerate the development of a local cloud computing industry. Governments need to think carefully about their role in the development of strong local cloud computing providers and the consequences of sitting back and letting market forces take their course.

We discuss this in more detail in the forthcoming report Efficient procurement and industry policy coalesce in the cloud.

Steve Hodgkinson is the director of Ovum's government practice in Australia and New Zealand. 


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