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Cloud Computing: Half of Enterprises will have Production Workloads Running in the Cloud within the Next Year

By Dick Weisinger

Enterprise production computing is moving to the cloud rapidly.  A report from 451 Research expects that within two years more than half of enterprises will have at least some of their production workloads in the cloud.  Today already the number of enterprises with cloud workloads is 41 percent, and 451 expects that to grow to 60 percent by 2018.  For deployment of new applications, 38 percent of organizations say that they’ve adopted a ‘cloud first’ policy.

Andrew Reichman, Research Director of 451 Research, said that “the predicted doubling of IaaS usage is the highest growth expectation for any type of cloud and points to significant revenue potential for vendors in this space.  Because cloud delivers increasing agility and flexibility to better fit ever-changing business needs, IaaS and SaaS allow organizations to focus their efforts on their business, rather than on maintaining costly and complex datacenters and infrastructure. If used properly, it has the potential to dramatically improve efficiency and results of business technology usage.”

Ezra Gottheil, an analyst with Technology Business Research, told ComputerWorld that “the technology (cloud computing), which allows painless allocation of resources and well-automated provisioning, is suitable for virtually all workloads in all situations. It just makes things work better. And while there’s some transitioning required to put current workloads on a cloud, it’s not really that much. So companies will be migrating workloads to the cloud whether that cloud is on-premise, in a managed service provider data center or in a public cloud data center.”

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