As the cloud market is maturing, we can expect a consolidation of this vibrant market. Whereas the initial upsurge was dominated by app developers and providers, the next phase will see an increasing focus on cloud solution providers.
Some organizations are using hundreds of apps, not including those apps employees have acquired without involving the corporate IT department. Managing these huge numbers of apps has become a task in itself. Integrating them can be difficult, expensive, time-consuming and often simply impossible.
Some corporate IT providers such as SAP (SAP ) are offering cloud solutions for core business units such as human resources, finanance, sales, marketing and procurement. Salesforce (CRM ) started off with a CRM solution and added on additional functionality. WinWeb has taken a corporate view and has developed a comprehensive cloud system which integrates the different functions in one package.
It could be argued that each model has its strength and weaknesses. What matters to organisations is that their business is supported in the most efficient way, whichever cloud services they employ. In an increasingly unstable global economy the cost of cloud services will continue to be a crucial element, but equally important will be additional benefits, such as higher productivity, faster speed-to-market, and industry-specific functionality such as meeting regulatory requirements.
Market intelligence company IDC found that only 38 per cent of organizations are currently using the cloud, while 62 per cent are still not using the cloud. These figures are likely to be reversed over the next decade. Organizations of all sizes will re-evaluate their approach to cloud computing in a quest to find the best solution for the particular challenges they are facing. Choosing the right cloud services will enables them to secure and maintain a competitive advantage.
Consultancies, system integrators and cloud brokers have to make sure that they understand underlying business needs as well as the advantages and disadvantages of different cloud offerings and that they are able to match the two.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.