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IDC predicts European cloud impact

by Stuart Wilson, Tuesday 8 March 2011

Research house IDC has come up with its top ten cloud predictions for the European software market in 2011. IDC reckons that the cloud, which it defines as packaged software solutions licensed as subscriptions and delivered over the internet, will have a profound impact on software vendors, business models, security, cloud use cases as well as IT managers and directors.

The evolution of cloud services as a transformational force in the European software market will touch every aspect of the software ecosystem, be it developers, vendors, buyers, users, service providers, and the channel, according to IDC.

IDC believes that a number of factors will impact the speed and pattern of cloud services adoption in Europe, including continued sensitivity over the privacy, protection, and location of data and cultural differences between countries that influence their attitude toward cloud-based services, particularly those provided from outside Europe.

"The cloud has moved from being on the periphery of both IT buyers and IT vendors to being a core issue for both parties," said David Bradshaw, research manager for European SaaS and cloud services at IDC. "IT buyers are looking for ways for cloud to increase agility while reducing cost, while many IT vendors, not least the software vendors, are scrambling to get their cloud offerings into the market before it is too late."

According to Eric Domage, research manager for European security products and services, IDC, "Security was a long-term inhibitor to cloud adoption. Organisations have adopted cloud, despite the security questions, and the challenge now is to keep control over cloud adoption. New technologies released in 2011 will help better manage this complex, flexible, and always changing IT resource."

Carla Arend, programme manager for European infrastructure software at IDC, added: "Infrastructure software will play a key role in automating the management and monitoring of large cloud environments, but also in orchestrating private and public cloud services."

IDC’s top 10 cloud predictions for the European software market in 2011 are as follows:

1. Software vendors will have to intensify their efforts to become cloud players in Europe

2. SaaS will turn IT directors into process and procurement managers

3. ‘Local cloud’ will accelerate SaaS adoption in Central and southern Europe

4. Cloud ‘wholesale’ models will emerge

5. Big data will become a key use case for cloud BI

6. Cloud-based social business platforms will become increasingly important

7. Security, compliance, SLAs, and data location will not be solved in 2011

8. Cloud security will break down more barriers than expected

9. Cloud governance will grow in importance but won’t impede growth

10. Commoditisation of IT infrastructure will accelerate

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