Tuesday, April 26, 2011

Green IT -- Including Virtualization And Cloud Computing -- Becoming A Priority For Organizations

Green IT initiatives will take on added importance in the next few years as more organizations commit financial resources and develop comprehensive strategies, according to a new study. Technologies such as virtualization or cloud computing may go a long way towards optimizing resource use, but few organizations make the association with green.

Among organizational priorities, green IT initiatives tend to rank around the middle. But the study suggests the trend line is headed upward. In 2009 only 9 percent of firms rated green IT as an upper half organizational priority. That figure stands at 37 percent in 2011 and is expected to rise to 54 percent in 2013 -- a nearly five-fold increase from 2009.

One in five firms currently have dedicated budget allocated for green IT initiatives, but 44 percent indicate they are moving in that direction. That's potentially good news for the IT industry, as it may indicate there is a growing market opportunity for technology products and services that have a green component.

The study also reveals that 35 percent of organizations report having a comprehensive green strategy for practices such as reducing energy consumption, equipment usage/design, recycling/product disposal, carbon footprint and employee behaviors. Additionally, 42 percent have a partial green strategy, while 24 percent have no strategy in place, though these firms may still engage in some green behaviors.

Looking ahead, among firms without a comprehensive green strategy, 48 percent expect to have one within two years. The remaining firms either expect a longer time horizon for adopting a strategy or are uncertain. This suggests many organizations continue to wrestle with the return on investment in green initiatives.

Part of the challenge is defining exactly what's meant by the term green IT.

Reducing energy consumption -- cited by 67 percent of respondents -- and the recycling of obsolete IT products or e-waste (63 percent) are the practices most strongly associated with green initiatives, according to the study.

Comment from Tim Herbert, vice president, research, CompTIA: Given the intense cost-cutting focus during the tough economic times of the past few years, as well as periods of high energy costs, it's likely many firms eyed green strategies as a means to help the bottom line.Green IT remains a fuzzy concept for many. Use of the term and its interpretation vary widely. While technologies such as virtualization or cloud computing may go a long way towards optimizing resource use, fewer respondents currently make the association with green. IT executives and respondents from large firms, those with more than 500 employees, are slightly more likely to view virtualization as a green strategy.

About the study: CompTIA's Second Annual Green IT Insights and Opportunities study is based on an online survey of 650 IT and business executives involved in green initiatives or strategies in the United States, United Kingdom and Germany. The complete report is available at no cost to CompTIA members.

Contact: http://www.comptia.org

Sixty Percent Of Companies Using Applications In The Cloud

SaaS adoption is up 13 points over last year, to 60 percent, despite lingering concerns about features and functionality, according to a survey. More than one-quarter of survey respondents say the applications they have delivered as services are mission critical, down from 34 percent. Meanwhile, start-ups and niche SaaS providers are going up against established vendors like Microsoft, Google and Salesforce.com, giving smaller businesses opportunities to take advantage of the burgeoning technology.

Other findings:

-- SaaS use among companies surveyed jumped to 60 percent from 47 percent last year.

-- Speed to implement, capex savings and opex savings are the biggest drivers behind the move to a SaaS model.

-- Top reasons 40 percent of companies don't use SaaS: lack of business requirement, concerns over security and concerns over data ownership.

-- SaaS satisfaction levels dipped 11 points, to 74 percent; still, only 14 percent say their app services don't meet expectations.

-- Twenty-six percent of respondents rate their SaaS-delivered apps "mission-critical," down from 34 percent a year ago; they rate 61 percent "important," vs. 51 percent last year.

-- CRM (44 percent), Web presence (38 percent) and email (35 percent) are the most common SaaS apps, followed closely by HR/recruiting (33 percent) and sales (32 percent).

-- Microsoft (34 percent, up 8 points), Salesforce.com (30 percent, down 11 points) and Google (26 percent, down 2 points) still garner the bulk of the market, but ADP (18 percent, up 15 points), IBM (16 percent, up 14 points) and EMC (15 percent, up 7 points) have gained ground, and smaller companies abound. Oracle dropped 11 points, to 15 percent.

-- The split between companies using customized SaaS apps and those using standard SaaS apps: 50/50.

Comment from Lorna Garey, content director of InformationWeek Analytics: It's getting harder for SaaS vendors to maintain quality levels, because they have to provide both standard and custom services for different companies. Most IT pros tell us they're happy to outsource apps so they have time to focus on content development and other projects, but they still work closely with the vendors to manage service contracts and processes--they don't just relinquish control for reliability and security, for instance.

About the survey: InformationWeek Analytics's report, SaaS 2011, explores the state of software as a service, a technology being adopted at unprecedented rates. The 275 respondents to this exclusive survey are business technology decision-makers involved in their companies' enterprise applications strategies. Report author, Michael Biddick, is president and CTO of Fusion PPT.

Contact: http://www.informationweek.com/

$14.4 Billion Federal Cloud Savings Opportunity

Federal IT managers are bullish on savings potential -- projecting $14.4 billion in year one from cloud implementations -- with e-mail slated as the first application for migration: 42 percent of IT managers are considering "clouding" their e-mail systems, according to a study.

Sixty-four percent of federal CIOs expect that cloud computing will reduce costs and improve service. Feds currently spend $35.7 billion annually supporting legacy applications, and feds project they can save $14.4 billion from steady-state budgets in the first year of private cloud implementation. Further, most feds believe cloud will support other priority federal initiatives: 64 percent of CIOs think cloud expands mandated telework and mobility options.

The study provides the first community feedback on the Office of Management and Budget's (OMB) new "Cloud First" policy, announced in December 2010. On February 8, 2011, OMB provided additional direction, via its federal Cloud Strategy, to accelerate the safe and secure adoption of cloud computing. Cloud First requires agencies to choose a cloud solution, if one exists, before initiating new IT program build. Further, it requires agencies move one service to the cloud within 12 months and two additional services to the cloud within 18 months. Sixty-four percent of federal CIOs say they plan to move to Cloud First in the next two years. That said, 79 percent say their agencies are not using the mandated Cloud First policy today. As to agencies' cloud status, most are still in discovery or planning stages. Only 17 percent are maintaining Infrastructure as a Service; 15 percent Software as a Service; and 13 percent Platform as a Service.

Considering the path forward, most IT managers say the deadline to move existing applications to the cloud is aggressive. Half anticipate meeting goals -- 52 percent indicate plans to move one service to the cloud in the next 12 months, and 48 percent say they will move two additional services to the cloud in the next 18 months.

Feds cite budget, security, and mission-specific requirements as top challenges. Seventy-nine percent of CIOs say budget constraints are a top obstacle to implementing cloud computing, and 71 percent of CIOs say security concerns are preventing cloud adoption. Though the General Services Administration (GSA) launched FedRAMP in November 2010 to provide a consolidated point for government-wide security authorization and related risk-management activities for cloud computing systems, 56 percent of CIOs say FedRAMP will not aid and speed federal cloud adoption, and 67 percent say that FedRAMP will not make federal cloud computing more secure.

Comment from said Aileen Black, vice president, government sales, VMware: Cloud computing in its many forms truly has the potential to transform government. We applaud the federal government's leadership and dedication to IT innovation, and critically, its recognition of the cloud's immense savings potential, whether private, public, or hybrid.

Comment from Steve O'Keeffe, founder, MeriTalk: Fed IT decision makers hear the business benefits cloud and clear. Why are Cloud First and FedRAMP falling on deaf ears?

About the report: MeriTalk's "Federal Cloud Weather Report" report provides a status on federal cloud computing migration, explores agencies' cloud challenges, and delivers insight on the road ahead. Underwritten by VMware, the report is based on an online survey of 167 federal government CIOs and IT managers in January 2011.

Contact: http://www.meritalk.com/fedcloudweatherreport

Software Company CEOs, CFOs Expect Cloud Computing To Drive Industry Growth In 2011

Cloud computing and Software-as-a-Service (SaaS) will drive the largest amount of spending in the software industry over the next 12 months, according to a survey of software company CEOs and CFOs. The majority of respondents expect their company's business will grow by at least 20 percent in 2011 and that hiring will increase significantly.

The software industry continues to pull itself out of the recession. While many industries continue to struggle, the CEOs and CFOs are optimistic about the industry as a whole and extremely bullish on the outlook for their own companies. Well over three-quarters of the respondents noted that their company had already returned to pre-recession growth levels or would reach those levels in 2011. In addition, nearly two-thirds of the respondents expect their company to grow by at least 20 percent, including more than one quarter of the respondents who expect their growth rate to top 50 percent this year.

Other findings from the survey include:

--  Cloud Computing and SaaS are Key Growth Drivers - The survey reveals that the resounding majority of respondents feel cloud computing and SaaS/on-demand will be the two most frequent types of software projects driving business spending over the next 12 months. More than 50 percent of the respondents stated the biggest influence driving software spending would be the need to increase efficiencies and reduce costs.
      
--  Hiring Trends Perking Up - Approximately 90 percent of the companies surveyed expect their headcount to increase in 2011, with more than half of those companies expecting their headcount to increase "significantly" this year.
      
--  Industry Growth Outlook Remains Strong - The survey revealed that more than 90 percent of the software executives responding have a positive opinion regarding the industry outlook. In addition, nearly three-quarters of the executives expect the software industry will perform better than in 2010.

--  The Cloud Model Dominates - The survey indicates software vendors have increased their use of cloud deployment options over the past year and decreased their use of on-premises options. In addition, a clear majority (72 percent) of the surveyed executives stated that multi-tenant SaaS solutions via a subscription license is the type of offering that will be most desirable for new customers during the next 12 months.

About the survey: The Sand Hill Group survey (Software CEO/CFO Outlook 2011), underwritten by Adaptive Planning and Intacct, comprised interviews with 100 software company CEOs and CFOs.     
      
Contact: http://www.sandhill.com
Contact: http://www.adaptiveplanning.com
Contact: http://www.intacct.com

Wednesday, April 13, 2011

Hybrid Cloud: Computing Model Of Choice Over The Next Decade

A global survey of medium to large organizations has found that cloud adoption rates remain steady in 2011, cloud adoption among public sector organizations will grow in line with commercial sector, finance/accounting is the most popular back-office function moving to the cloud ahead of customer relationship management (CRM) and human resources (HR), and enterprise applications will move to the cloud gradually over the next 10 years.

Summary of findings:

-- Cloud adoption rates remain steady in 2011. The survey revealed that "business living in change" (BLINC) are starting to invest more in cloud technology for core back-office functions, but that growth will remain steady this year. Thirty-two percent of respondents believe they will spend more on cloud computing this year, and 32 percent believe they will spend at the same rate as in 2010. Only four percent expect to spend less and 31 percent expect to spend nothing on cloud computing. Almost half of respondents (334) cited that they do not currently use any cloud applications in the back-office, and another third (222) said that between one and 25 percent of their back-office functions are currently cloud based. Potential for growth in the enterprise space is significant. Six respondents of different organizational size, geography and industry cited their back-office functions to be 100 percent cloud based.

The top three perceived disadvantages of cloud computing are: loss of control (51 percent), reliance on the Internet (54 percent)   and difficult to customize (38 percent)

The top three perceived advantages of cloud computing according to the survey are: easier maintenance (62 percent), automatic updates (42 percent), scalability (44 percent).

-- Cloud adoption among public sector organizations will grow in line with commercial sector. Despite a current low level of cloud adoption cited among 123 public sector organizations currently and relatively little planned investment in 2011, 25 percent estimate that cloud will account for between 25 and 50 percent of their back-office cloud applications 10 years from now, and 17 percent estimate it will be between 50 and 75 percent. The key perceived advantage of cloud technology according to the government sector respondents was easier maintenance while reliance on the Internet and loss of control were perceived as the main disadvantages.

-- Finance/accounting is the most popular back-office function moving to the cloud. Twenty-four percent of respondents already use a cloud application for accounting, ahead of any other function, according to the survey, while other back-office functions including supply chain management and manufacturing have seen little investment. Surprisingly, only eight percent of the survey respondents said they have invested in cloud based CRM technology.

-- Enterprise applications will move to the cloud gradually over the next 10 years. Organizations were asked what proportion of core back-office business applications were likely to be cloud-based 10 years from now. Just nine percent expect applications to remain 100 percent on-premises, while eight percent expect to be completely cloud based. A hybrid approach to cloud adoption appears to be the most popular model for the next 10 years at least with 83 percent saying they expect to have a mix of on-premises and cloud technology. 377 respondents expect <50 percent of back office applications to be cloud based in 10 years compared to 312 with >50 percent.

About the survey: The UNIT4 report is based on responses from 700 medium to large dynamic organizations based in 12 countries worldwide.The aim of the survey was to gauge views and plans relating to Cloud Computing from medium to large organizations worldwide that typically rely heavily on back-office technology to support them. Senior level finance and IT professionals from a range of sectors completed the survey in January and February. Organizations with 50 employees up to more than 5,000 are represented. Cloud Computing is defined as services or software delivered over the Internet. Back-office applications listed in the survey include finance/accounting, HR, manufacturing, supply chain management, project management, CRM, data analysis/reporting, procurement, payroll and field service management.

Contact: http://www.unit4.com

Monday, April 11, 2011

SaaS Revenue To Grow Significantly Through 2015

Worldwide SaaS revenue will grow dramatically over the next few years, with a compound annual growth rate (CAGR) of 23 percent from 2010 to 2015, according to a market report. In addition, the overall managed security services market, including CPE, SaaS, and cloud services, will reach just under $17 billion by 2015.

Other key findings:

--  Together, SaaS and cloud-based security services are expected to make up close to half of the overall managed security services market opportunity by 2015

--  While managed security services are popular in North America and EMEA, there is opportunity around the globe, as cloud-based services, and SaaS in particular, are location independent  

--  Asia Pacific and Central and Latin America (CALA) are expected to account for a growing portion of the managed security services market in coming years

Comment from Jeff Wilson, principal analyst for security at Infonetics Research: 2010 was a good year for managed security services, which, for the most part, met our expectations for buyer uptake and provider innovations. Revenue grew 12 percent in 2010 and will grow 62 percent over the next 5 years, driven by cloud-based services and SaaS. There was no decrease in fundamental demand for managed security in 2010, just a sluggish global economy.

About the report: The Infonetics Research report Managed Security Services and SaaS with Service Provider Scorecards report analyzes and forecasts the market for SaaS, CPE-, and cloud-based security services managed by service providers for small, medium, and large businesses, including managed firewalls, content security, intrusion detection and prevention solutions (IDS/IPS), and other security services.

Contact: http://www.infonetics.com

Security Spending For Virtualized Environments To Spike

Many companies are moving to a virtualized server infrastructure to take advantage of the overabundance of computing resources in their networks, save energy and cost, and make their IT infrastructure more robust, but they are starting to realize that this may all come at the expense of security, according to a survey.

Key findings:

--  The virtual server security market is new and fragmented, marked by a mix of vendors, including virtualization vendors, application and database vendors, server and data center heavy hitters, client security players, and network security vendors

--  The top three drivers for deploying new security solutions for virtualized environments are preventing new threats specific to virtual environments, preventing inter-virtual machine (inter-VM) threats, and maintaining secure server configurations

--  The confluence of media hype, maturing product offerings, and strong buyer interest will make 2011 the year brand leadership and mindshare are established in the virtualized infrastructure security market, followed by a breakout spending year in 2012

--  Respondent companies expect to spend an average of 51 percent more on security for virtualized environments in 2012 than they did in 2010

Comment from Jeff Wilson, principal analyst for security at Infonetics Research: While the market leader in the data center/cloud security space is at this point undecided, at the center of the leadership puzzle is the emerging segment of security solutions for virtualized environments. Microsoft, Cisco, and VMware lead in brand awareness and strength overall now, but this is only one (admittedly early) piece of the virtualization/data center security leadership puzzle. It's possible that when it comes down to who will actually be able to best monetize security solutions for virtualized environments, players with much lower brand presence will do better than some of the players with stronger overall brands, if they deliver a better product.

About the survey: Market research firm Infonetics Research polled end-user companies that have deployed server virtualization about their buying plans for security.The survey, Security for Virtualized Infrastructure: North American Enterprise Survey, is a 20-page report of buyer plans, deployment drivers, budgets, strategies, and ratings of vendors in the space. The survey includes respondent ratings of Check Point, Cisco, Juniper/Altor, Microsoft, Reflex, and VMware on 8 criteria: security, technology, product roadmap, management, price-to-performance ratio (value), pricing, financial stability, and service and support. Vendors named by respondents in open-ended questions or rated when prompted include Check Point, Cisco, Citrix, Crossbeam, F5 Networks, HP, IBM, Juniper/Altor, McAfee, Microsoft, Oracle, Reflex, Symantec, and VMware.

Contact: http://www.infonetics.com

Nearly Half of Enterprises Failed To Anticipate Storage Impact On Virtualization Project Costs

A majority of medium- and large-enterprise IT organizations mistakenly overlook storage when implementing a virtualized operating environment, a survey has found. Nearly half of respondents (43 percent) had not anticipated the impact that storage would have on their server and desktop virtualization costs or had not started a virtualization project because the storage-related costs "seem too high." As a result, the rollout of their virtualization projects is delayed.

Additional findings:

-- Of those that have deployed server virtualization, 66 percent cited a substantial increase in storage costs as the biggest problem they are facing. Nearly 40 percent say the storage infrastructure is either slowing application performance or limiting its availability, while more than 20 percent indicate that business continuity has become more difficult.

-- Over 56 percent now realize that consolidation creates I/O bottlenecks that prevent them from moving to the next level of virtualization.

-- Nearly one in four (22 percent) IT administrators admitted that they feel "locked-in" to their storage hardware provider. One third of these respondents underestimated the costs that server/desktop virtualization would have on their storage budget. Accordingly, 41 percent of the overall respondents are saddled with two or more different storage systems from the same vendor and more than 60 percent cannot manage their storage resources as a single pool.

-- Despite the hype surrounding cloud initiatives, an overwhelming majority (73 percent) of organizations have yet to take advantage of cloud services for storage needs. However, 70 percent said access to more disk space would be the most important characteristic they would want from cloud-related storage -- even more so than the disaster recovery functionality it could provide.

-- 95 percent of respondents cited they are likely to deploy server/desktop virtualization software from VMware, Microsoft, or Citrix in the coming year. While Microsoft Hyper-V adoption is growing, according to respondents, VMware is still top of mind. Nearly 65 percent plan to deploy VMware, while only 10 percent have identified Hyper-V as their platform of choice.

-- Almost half (48 percent) of those surveyed are now taking advantage of storage virtualization software to tackle the storage-related obstacles associated with their server and desktop virtualization initiatives. Nearly three in four (74 percent) rely on it to improve disaster recovery and business continuity practices.

Comment from George Teixeira, president and CEO of DataCore Software: Unanticipated storage costs, availability concerns, and performance bottlenecks are the most critical factors bringing server consolidation and desktop virtualization projects to a standstill. IT organizations in midsize and large organizations have turned to storage virtualization software solutions like DataCore's SANsymphony-V to overcome these operational and financial challenges by better leveraging existing storage assets and standard practices.

About the survey: The online survey ("The State of Virtualization") by DataCore Software was conducted among more than 450 medium- and large-enterprise IT organizations in the North America and Europe in January 2011. The survey asked a series of questions about virtualization and its impact on storage. To read more about the survey results, access "The State of Virtualization and Clouds and the Impact of Storage" report.

Contact: http://www.datacore.com/Software/Closer-Look/White-Papers.aspx

Contact: http://www.datacore.com

More Than Half Of IT Pros Expect To Adopt Cloud Storage

More than 57 percent of respondents to a survey expect to adopt cloud storage to store e-mail, front office application data and backup data in the cloud, in that order.

Respondents felt that cloud storage standards are important in advancing the industry and that for many organizations but are more important for public cloud implementations than private clouds. In addition, the security of data stored in the cloud isn't as much of a concern as lack of budget is.

Comment from Wayne M. Adams, Chairman, SNIA Board of Directors: With the SNIA Cloud Data Management Interface (CDMI) standard gaining commercial implementation, the marketplace can reduce vendor lock-in while enabling increased interoperability and data portability across service providers. CDMI is cited in the recent Storage Strategies NOW Cloud Storage market research study as very important standard for public/hybrid clouds that will increasingly be part of cloud RFPs.

About the survey: Information for this report ("Cloud Storage: Adoption, Practice and Deployment") was obtained by Storage Strategies NOW (SSG-NOW) through a number of sources including vendor questionnaires and interviews, end-user and managed service provider (MSP) interactions, available market data and a survey of IT professionals, conducted in the first quarter of 2011. The report defines cloud storage, outlines the explosive growth in cloud storage and details how small and enterprise-size businesses are adopting and deploying cloud storage services for backup, archive, email and bulk storage data. The IT Professionals Cloud Adoption Survey, co-sponsored by the Storage Networking Industry Association, presents information on the status of the cloud storage market.

Contact: http://www.snia.org

Digital Infrastructure, Cloud Computing Transforming Fragmented Manufacturing Industry Value Chain

New technology advancements available in a digital infrastructure, such as cloud computing and social computing, are transforming manufacturing industry value chains, according to a survey.

The survey revealed a need to better integrate collaboration tools with business systems (47.4 percent) and to improve access to unstructured data and processes (36.2 percent). Almost 60 percent see an industry wide collaboration that includes manufacturing products and services providers, IT providers, systems integrators and in-house business analysts as most capable of bringing about these improvements.

The survey found that the biggest benefit of cloud computing is lowered cost of optimizing infrastructure, according to 48.3 percent of respondents. This was followed closely by efficient collaboration across geographies(47.7 percent) and the ability to respond quickly to business demands (38.4 percent).

Comment from Sanjay Ravi, managing director, Worldwide Discrete Manufacturing Industry for Microsoft: Globalization has fragmented industry value chains, making them more complex and unable to quickly respond to increased competition and shorter product life cycles. Cloud computing is empowering today's global manufacturers to rethink how they innovate and collaborate across the value chain. As a result of these increasingly rapid changes in technology and business, manufacturers are seeking guidance on how to best plan and deploy these powerful technologies in concert with their business strategies and priorities and how to achieve greater competitive differentiation. The survey shows current cloud computing initiatives are targeted at cost reduction, but a growing number of forward-looking companies are exploring new and innovative business capabilities uniquely delivered through the cloud. Manufacturers are exploring ways to improve product design with social product development, enhance visibility across multiple tiers in the value chain, and create new business models and customer experiences based on smart devices connecting to the cloud.

Microsoft has created a Reference Architecture Framework for Discrete Manufacturers Initiative (DIRA Framework) to drive solutions based on cloud computing across manufacturing networks while helping integrate processes within and across the enterprise, extend the reach of the network to more companies globally, and connect smart devices to the cloud. Microsoft partners involved in the initiative currently include Apriso Corp., Camstar Systems Inc., ICONICS Inc., Rockwell Automation Inc., Siemens MES and Tata Consultancy Services Ltd.

About the survey: The Manufacturing Cloud Computing Survey 2011 polled 152 IT and business decision-makers within automotive, aerospace, high-tech and electronics, and industrial equipment manufacturing companies in Germany, France and the United States. The survey was conducted by Microsoft Corp. and released at HANNOVER MESSE 2011 in Hannover, Germany.

Contact: http://www.microsoft.com

Why Cloud Computing Is A Good Business Decision

IDG reported that about 90 percent of all Fortune 1000 companies have adopted some form of cloud computing and Forrester found the concept has risen from No. 11 to No. 3 on the CIO's agenda for 2011. But a recent CFO Magazine survey found that cloud computing is not necessarily a top priority for CFOs concerned with the overall bottom line.

IT experts from executive services firm Tatum, however, say cloud computing is a good business decision that should be on the CFO's agenda as it provides new options to improve profitability and offers the ability and flexibility to scale operations up or down as the business climate fluctuates.

Comment from Bill Jeffery, partner and technology practice leader for Tatum: CFOs need to understand the positive impact cloud computing has on business. It is not uncommon for companies to achieve sixty percent or more in savings on variable costs in their IT budgets by adopting the cloud to provide some of their IT services. Furthermore, having IT expenses vary with business activity and frees up dollars which can be better spent on initiatives that provide for business agility and competitiveness in the marketplace. Cloud computing is extremely valuable to maintaining a lean IT business and keeping costs at a minimum. Similar to traditional outsourcing, opting for the cloud can be a purely technical decision; however, market leaders position it more as a strategic business decision that allows a shift from fixed IT costs to a variable cost structure--freeing up capital and providing flexibility in uncertain times. 'The cloud is a great place to do business if you know how to do it right. There are so many advantages relative to cost savings in terms of less cash outlay for materials and for personnel needed to support and maintain it. The migration to cloud computing must be well thought out. There is no one 'right' time to move to cloud; it's a decision only your organization can make. That decision can significantly impact the bottom line.

Eight reasons why switching to the cloud would be a wise business decision:

1. Substantial savings for startup costs the first year with no upfront cash outlay for hardware and software purchases
2. Implementation timeframe for cloud is shorter by several weeks and upgrades can be done as needed
3. Implementation cost significantly less with less disruption to the business
4. A lower fixed monthly fee to maintain
5. Decreases stress/burden on IT departments that might already be stretched beyond capability
6. No additional IT infrastructure necessary as the solution provider provides all required hardware and software
7. No need to increase IT staff
8. Automatic routine optimization and regular upgrades to system

Contact: http://www.tatumllc.com

Data Center Cloud Use Rises, Mainframe Usage Declines

There has been significant growth in the adoption of cloud computing, according to a survey. Last year, only 14.9 percent of all data centers had implemented the technology. Today, that percentage has grown to 36.6 percent, with another 35.1 percent seriously considering it. Cloud computing will continue on this trajectory for the next five years, with 80 to 90 percent of all data centers adopting some form of the cloud during that period.

While historically one of the most critical elements of any data center, today, mainframe usage continues to shrink. While mainframes will exist forever in some capacity, their prevalence has been severely diminished.

Other findings:

-- Data centers are not prepared for disasters: More than 15 percent of respondents said their data center has no plan for data backup and recovery. 50 percent have no plan to replace damaged equipment after a disaster; two-thirds of all data centers have no plan or procedure to deal with cyber crime.

-- Web application proliferation: In the survey, 86.6 percent of all respondents reported an increase in the number of web applications they are running today as compared to just three years ago.

-- Even in a down economy, data centers have been expanding in size with 44.2 percent occupying more floor space that they did three years ago. Another 49.4 percent are currently in the process of expanding or are planning to in the near future. Only 16.4 percent have downsized.

-- Greening the data center: While only 3.9 percent of respondents have implemented solar power in their data center, this represents a trend towards integrating renewable energy as part of making more sustainable and energy efficient data centers. While the industry is certainly concerned with the environment, they look to greening as a great way to save substantial money now and even more as time goes on.

-- Biometric security use: Security is always a top concern for data centers, but the survey found the growing use of biometric screening for authorization and access has grown, with a surprising 25 percent of facilities installing the technology to better protect their data centers.

Comment from Richard Sawyer of HP Critical Facility Services: When it comes to disaster recovery, the survey results are indicative of the investment activity we have seen in data centers throughout the recession--focus on immediate needs with business continuity and disaster recovery planning considered a luxury. But now, with the regional disasters in Australia, New Zealand, and Japan, and the turmoil in the Middle East, we are reminded it is a management necessity to be prepared for anything."

Comment from Jill Yaoz, CEO, AFCOM: In an environment where change is an accepted part of day-to-day life, it is important to recognize how data center managers are adapting to the new technologies and directions emerging in the industry. One of the most interesting changes our survey illustrates is the continued transition to the cloud. When we last did this survey in October 2009, very few data centers were even interested in the cloud, let alone actually adapting it. However, now we see that data center managers are more familiar with the risks and concepts, and cloud computing is quickly becoming a new standard of operation."

About the survey: AFCOM, a data center association, conducted the survey of 358 data center managers from around the world to find out how data centers are adapting to the most critical challenges, technologies and economic factors. This latest report proves top issues include the demands of space, energy efficiency, and physical and logical security.

Contact: http://www.afcom.com

Few Mission-Critical Apps Moved To The Cloud

While many companies are deploying software as a service (SaaS) applications and have selectively deployed enterprise applications in private clouds, very few have moved mission-critical applications to the public cloud, a survey has found. In fact,  only seven percent of respondents have moved compliance-relevant applications to the public cloud; security and compliance issues were the primary inhibitors to cloud adoption.

Comment from Darran Rolls, CTO of SailPoint: Organizations face too many unknowns related to compliance and security in cloud environments to consider moving mission-critical IT assets there. Yet, many business units are already deploying SaaS applications without engaging the IT organization, creating major gaps in the visibility and control over potentially sensitive data. In order to safely adopt cloud computing, companies need to govern identity and access data deployed in the cloud in the same manner that they govern applications in the datacenter.

About the survey: SailPoint conducted the survey among the Global 1000.

Contact: http://www.sailpoint.com