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70% of firms planning on extending their cloud or virtual hosting presence

By Fred Jones

IT decision makers are planning on extending their cloud or virualised presence, according to reports.

Interestingly, the fears that many executives had over adopting cloud services for their online backup and hosting needs are beginning to wane, with 62% of respondents who did not already use SaaS (software as a service) or virtualised hosting solutions having considered taking the plunge.

Analysts have argued that, as well due to increased media coverage of the business, time-management and green credentials of adopting virtualised hosting, that the reason behind the change of heart is that several of the IT big boys (Google, Amazon, Microsoft) were embracing the cloud openly.

However, despite the security concerns and wishes for better integration with existing systems that many firms seemed to have, a report ( from US email management service Mimecast found that, of the ones who did take the plunge, 70% were planning on extending their SaaS usage, moving additional data and information onto the cloud and virualised environements.

As the representatives from Mimecast put it: “This shows that respondents that have used cloud-based solutions have seen their business and operational value and want to expand that success to other application areas.”

The top three sectors that the study found were embracing virtualised computing were also interesting, as they were also among those most sceptical about the merits of hosted solutions.

The report found that 76% of firms in financial services were wary of SaaS due to security fears, but the industry was the second biggest adopter of the cloud, with 40% having moved data onto online backup services.

In addition, 68% of those financial firms who had already adopted hosted solutions were among those who were planning on migrating additional data to the service.

The legal sector represented the third biggest investment in SaaS, with 37% of companies utilising the technology.

However, while this represented a lower overall stake in moving data online, a whopping 81% of those legal firms who took up cloud solutions were increasing their budgets for it.

Interestingly, the biggest adoption rate for cloud computing solutions came from the IT sector, with 53% of techies jumping onto the hosted bandwagon and three quarters of those increasing their connections to SaaS.

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