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Unlike IoT, Cloud Computing Is Actually Living Up To Its Billing

The IT industry has long been subject to accusations of creating hype around new ideas and solutionsWhile the latest buzz centers around the Interne...

2 min read
Published on Sep 30, 2014
Unlike IoT, Cloud Computing Is Actually Living Up To Its Billing

The IT industry has long been subject to accusations of creating hype around new ideas and solutions. While the latest buzz centers around the Internet of Things (IoT), the reality, for the moment at least, falls short of the hype.

The same cannot be said about Cloud Computing, as this article discusses.  

Unlike the Internet of Things, the cloud is proving to be a technology worthy of all the hype. According to fresh research from Sage, an overwhelming 87 percent of mid-market businesses (comprising between 100 and 499 members of staff) are now making use of cloud technology. Of these, 80 per cent say they made the switch over to cloud computing within the last two years.

What’s more, 20 per cent of those involved in the report say that they have saved 50 percent as a result of using the technology instead of on-premise solutions. The other 80 percent claim to have saved in excess of 25 percent.

However, the study also found that the outlook is very different when it comes to enterprise resource planning (ERP). Only one fifth of participants say that they make use of cloud-based ERP solutions, but this looks likely to change in the near future, with 60 percent of those who don’t have cloud-based ERP saying they are keen to adopt it.

According to the 670 IT decision makers involved in the research, cost reductions (50 percent), efficiency (40 percent), gaining a strategic advantage (32 percent) and growth (31 percent) are the biggest drivers behind the move to cloud-based ERP solutions. Unsurprisingly, the biggest drawbacks are security (57 percent), “internal barriers” such as a lack of understanding (23 percent) and price (20 percent).

“We’re clearly at a point of inflection for ERP and businesses are telling us that it’s the right time to move to the cloud,” said Christophe Letellier, the CEO of Sage mid-market Europe. “Two years ago, businesses were wary of cloud. But as more have embraced cloud for a range of services, the benefits are clear — choice, scalability and flexibility.

This article excerpt, by Aatif Sulleyman, originally appeared here: http://bit.ly/1obB9mK_

This post has matured and its content may no longer be relevant beyond historical reference. To see the most current information on a given topic, click on the associated category or tag.

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