In the wake of the global financial crisis, green IT and cost-effective IT has lost its mutual exclusivity, independent market analyst Datamonitor reported recently.

In a report entitled “Can Green IT Bloom in an Economic Downturn?,” the analyst said that due shrinking IT budges across the globe, investments in green IT are currently being driven by legal compliance and cost savings, effectively causing a paradigm shift to IT solutions that are both green and cheap.

“The global economic recession has spurred a paradigm shift in the way organizations evaluate, budget for and deploy green IT,” said Rhonda Ascierto, senior analyst, Datamonitor and the report’s author. “The downturn has also resulted in green IT trends for datacenters, client devices and asset lifecycle management, as well as re-shaped return on investment (ROI) models.”

The firm said that as companies face critical datacenter limitations, IT managers turn to the cloud, virtualization and SaaS (Software-as-a-Service) in order to keep their organizations running efficiently.

“The greatest demand for datacenter green IT will be for datacenter virtualization,” Datamonitor said.  “Datacenter virtualization is becoming more holistic, whereby various assets are being virtualized across a pool of datacenter hardware.”  The company added that the industry will see an increase in demand for cloud computing, which theoretically falls under the green IT banner.

This significant change in outlook, Datacenter predicts, bodes well for green IT vendors, but only if they forge more efficient and greener IT solutions in order to satisfy the change in ROI (return on investment) requirements of companies, whose budgets are becoming more restrained as the economy remains at a standstill.

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John Mark V. Tuazon

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