Posted By: Darren Bonawitz, principal of 1102 GRAND
As I have mentioned in previous posts, I believe cloud computing has a place in today’s market, but I still firmly believe it is more buzz than reality. I’m not saying that it does not exist because of course it does and some are doing it very well. Instead, I am merely saying that it still represents a very small portion of the market although I expect cloud computing to grow once it evolves. Until then, I still stand by the fact that most companies are best suited for a hybrid collocation model (primarily collocation with certain elements in a hosted or cloud environment).
According to a Data Center Knowledge Article, “Go Daddy & The Power of Uncloudy Infrastructure,” “Cloud computing has provided exciting new opportunities for developers and start-ups, and is gaining meaningful traction with enterprise customers. But for the moment, cloud computing’s mindshare is bigger than its market share. As of June of 2010, Tier 1 Research estimated that cloud computing represented 2 percent of the IT infrastructure market. Even if it has doubled in size over the past year – as suggested bydata shared by Amazon- that still suggests market share of about 5 percent.”
“IDC has somewhat higher estimates, saying cloud represented 5 percent of IT spending in 2009 and will increase its share to 10 percent by 2o13. That would still leave 90 percent of IT spending focused on other delivery methods.”