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CIOs Harbor High Expectations for Cloud Computing

By Dennis McCafferty on 2010-07-28


CIOs and other top IT managers are more interested than ever in cloud-computing solutions for their enterprise needs, according to a new survey from Savvis. That is because many of them would like to get out of the business of managing their IT infrastructure and are looking to the cloud for outsourcing. But this does not mean that the cloud is getting a “free pass” from senior tech managers. Clear and distinct marketing challenges need to be faced by global cloud providers to overcome doubters, the report concludes. In addition, security dynamics must be transformed from inhibitors to assets. Still, it is clear from the survey responses that the vast majority of CIOs and top IT managers fully expect to be deploying some kind of cloud-computing solutions in the future. This independent report was commissioned by Savvis and conducted by Vanson Bourne. More than 650 CIOs, CTOs, IT directors and other top IT decision-makers were interviewed in the U.S., U.K., and Singapore. Here are some key findings. (You can also download the entire cloud computing report.)

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18 percent is how much CIOs and other top IT managers in the U.S. expect to save on IT budgets by using cloud services.

12 percent and 16 percent are the savings from using cloud services anticipated by IT managers in the U.K. and Singapore, respectively.

82 percent of U.S. organizations say they currently manage their IT infrastructure needs in-house.

Less than 50 percent of U.S. organizations expect to run the majority of their IT infrastructure in-house by 2020.

48 percent of survey respondents say the need for cost-effective IT infrastructure solutions is a top priority for 2010.

Focusing IT resources on developing and/or managing business-critical applications is a top 2010 priority for 43 percent of survey respondents.

32 percent of survey participants say enabling collaboration to gain operational efficiencies is a top priority for 2010. The same percentage cite the ability to effectively manage and prioritize IT demand.

Developing an agile IT service delivery model without increasing costs (30 percent)Bringing products/services to market faster than competition (29 percent)

54 percent of organizations either currently use or plan to use cloud computing within the next 12 months.

Three of four companies anticipate using cloud computing at some point.

52 percent of CIOs and IT managers who have not adopted cloud-computing solutions say concerns about security of sensitive data is a top reason for not adopting cloud computing.

27 percent of CIOs and IT managers who have not adopted cloud-computing solutions say uncertainty about cloud value proposition is a top reason for not adopting cloud computing.

50 percent of CIOs and other IT managers say they expect cloud computing providers to allow them to fully manage security controls of their environment, while enabling changes to be made as required.

85 percent of CIOs and other IT managers feel that a high level of security is a top enterprise-grade need for a cloud solution.

75 percent of CIOs and other IT managers say that high availability and choice of service-level agreements are top needs for an enterprise-grade cloud solution.

69 percent of CIOs and other IT managers say enterprise-level performance is a top enterprise-grade need for a cloud solution.

Enterprise components (53 percent)Choice of geographic location (34 percent)

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