Cloud Software Thunders Ahead With Adoption

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February 3, 2011 – The expansion of cloud computing isn’t happening in a bubble. New research and analysis from IDC predicts big opportunities for cloud software vendors, as enterprises invest billions of additional dollars and juggle public, private and non-cloud data.

In a new report, entitled “Worldwide Cloud Systems Management Software Forecast Trends: 2010-2015,” the IT analyst company predicts the cloud software market to have a compound annual growth rate of 45.5 percent during the next four years, with sales reaching $2.5 billion by 2015. Overall cloud market growth estimates are partly based on earlier trend research and surveys of business adoption of cloud computing.

But it’s how those businesses might dedicate money in various cloud deployments, and what deployment tools and software vendors introduce, that point to big financial gains in the cloud software market, says IDC research director Mary Johnston Turner.

Citing emerging cloud investment outside of the U.S. and fluctuations in private cloud software spending, which research put at 70 percent of cloud purchases in 2010, Turner says investment in the cloud marketplace is nearing a “tipping point.” Turner says the need for a range of integrated automation system management tools for various clouds environments will pump money toward the marketplace and push enterprises to seek out vendors that provide the best, individualized end-to-end services.

“In my view, it is critical for IT leaders to get ahead of the vendors and lead the conversation about service definitions, SLAs, security policies, etcetera,” says Turner. “IT organizations will increasingly need to engage with business leaders to determine which types of environments are most appropriate for which applications.”

To access the report, click here.


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