UK firms 'slow to spend on cloud computing'
UK firms 'slow to spend on cloud computing'
UK companies are currently just spending around a fifth of their IT budgets on cloud computing technology, according to a new report.
However, more than nine out of 10 businesses questioned by consultants Alsbridge said that they were already using the cloud, while seven in 10 used software as a service (SaaS) and 32 per cent had adopted platform as a service (PaaS) in their organisations.
The study raised concerns that the UK may be missing out on the benefits of the cloud in the infrastructure as a service (IaaS) market, Cloud Tech reported. The research showed a definite split among the size and type of businesses that were more enthusiastic about cloud computing.
Alsbridge spokesman John Sheridan said: “Cloud may be a good fit for a small to mid-size business model, but our study reveals that IaaS cloud adoption at a large corporate level is in fact still relatively low.”
The researchers also found that those adopting the cloud were concerned that their investments in the technology have not yet provided them with the returns they had expected. While the majority expected to make operational cost savings of around 74 per cent, most had actually saved just over 40 per cent, and the average software savings came in at around 63 per cent, compared to the 74 per cent that had been hoped for. In addition, the average boost in efficiency after adopting the cloud stood at 35 per cent, compared to the expected 59 per cent.
The findings, based on interviews with 50 IT decision makers, run contrary to recent research published by IBM that suggested companies could double their revenues by adopting cloud computing. Meanwhile, a separate survey also revealed that IT professionals with cloud computing experience are also able to demand larger salaries than those without.
Businesses looking to move services into the cloud, should evaluate the performance of their existing network and consider setting up a leased line or MPLS network.
