Roughly 70% of firms with more than 1,000 employees aren't in cloud - study

- Wednesday, August 17, 2011

Roughly 70% of firms with more than 1,000 employees aren't in cloud - study

About 70% of companies with more than 1,000 employees have yet to start a cloud initiative, ICT consultancy Gartner found in a study.

"There are a lot of reasons to explain what is holding them back, but the main one is certainly a still very present sense of risk," noted Gartner administrative VP, Gene Phifer, who was participating in a Gartner conference on cloud computing in São Paulo.

He said that companies - larger ones, in particular - are still overall insecure about the safety of their data and risk averse to putting it in a shared datacenter. Besides, a lack of strict regulation concerning cloud computing and data sovereignty would add to that insecurity.

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On the other hand, certain federal regulation - such as the US Patriot Act, which allows the US government to access all the data within its territory when it comes to intelligence gathering to prevent terrorism - is not helping either.

But despite the barriers, Phifer said, the forecast for cloud computing implementation is still very positive. "Every company, even if at first not completely aware of it, will use some level of cloud computing at a certain point in the future."

According to the same Gartner study, some 15% of companies have already implemented cloud initiatives, while an additional 15% are currently implementing them, and about 20% are planning to do so in the next 18 months.

"More and more companies will spend more and more money on the cloud. Agility, data capacity, safeness... everything will contribute to migrating to cloud computing. There's no way back," Phifer said.