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Cloud computing will become bulk of new IT spend: Gartner

The use of cloud computing is growing, and by 2016 this
growth will increase to become the bulk of new IT spend, according to Gartner.
2016 will be a defining year for cloud as private cloud begins to give way to
hybrid cloud, and nearly half of large enterprises will have hybrid cloud
deployments by the end of 2017.

The use of cloud computing is growing, and by 2016 this
growth will increase to become the bulk of new IT spend, according to Gartner.
2016 will be a defining year for cloud as private cloud begins to give way to
hybrid cloud, and nearly half of large enterprises will have hybrid cloud
deployments by the end of 2017.

In India, cloud services revenue is projected to have a
five-year projected compound annual growth rate (CAGR) of 33.2% from 2012
through 2017 across all segments of the cloud computing market.

“Cloud computing continues to grow at rates much higher than
IT spending generally. Growth in cloud services is being driven by new IT
computing scenarios being deployed using cloud models, as well as the migration
of traditional IT services to cloud service alternatives. Segments such as
software as a service (SaaS) and infrastructure as a service (IaaS) have even
higher projected CAGR growth rates of 34.4% and 39.8%,” said Ed Anderson,
research director at Gartner.

Gartner describes cloud computing as a style of computing in
which scalable and elastic IT-enabled capabilities are delivered ‘as a service’
using Internet technologies. It heralds an evolution of business in positive
and negative ways. It has also become a hot industry term that has been used in
many contradictory ways.

“Overall, there are
very real trends toward cloud platforms, and also toward massively scalable processing.
Virtualization, service orientation and the Internet have converged to sponsor
a phenomenon that enables individuals and businesses to choose how they’ll
acquire or deliver IT services, with reduced emphasis on the constraints of
traditional software and hardware licensing models,” said Chris Howard,
research vice president at Gartner.

By CIO staff

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