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Capgemini IT: GROWTH ACCELERATOR

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Gartner study exposes cloud adoption challenges


22 Sep, 2016 08:41 am

Cloud service sales are expected to continue enjoying double-digit growth in the near and medium term, but many enterprises face challenges when trying to adopt the third-party offerings for their IT operations.


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According to Gartner, the cloud services market is forecast to grow by 17.2 percent this year, to $208.6 billion. Under the umbrella of "cloud" services, the Infrastructure-as-a-Service (IaaS) market (Which includes areas such as data centres) is expected to surge by 42.8 percent, while the Software-as-a-Service (SaaS) market (interactive applications like Salesforce and Google Apps) is expected to grow 21.7 percent to $38.9 billion. 

Enterprises can expect to cut their IT operations costs by 14 percent per year by shifting to the cloud. Nevertheless, growth is hampered by security concerns as organisations prepare to migrate their valuable data to the cloud. "

There's no question there is great appetite within organisations to use cloud services, but there are still challenges for organisations as they make the move to the cloud," Sid Nag, research director at Gartner, said.
TAKEAWAY TREND
Demand for cloud services continues to soar, but enterprises face the challenge of choosing the right partner that meet security and other specific needs. 
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