Computerworld Philippines Staff
August 6, 2009

Amidst the ongoing hype and confusion among customers regarding the potentials of cloud computing, service providers are actually ramping up their services and investing in an impressive pace, global consulting firm Ovum reported Thursday.

In a competitive attempt to capture the infant cloud computing market, Ovum said vendors are striving to differentiate their services by using technologies to improve the delivery experience, and leveraging cloud computing as a means to curb the negative effects of recession.

“Cloud computing continues to dominate discussions among enterprise IT customers as they look for better and more cost-effective ways to operate and deliver IT services,” said John Madden, principal analyst, Ovum. “Although cloud-based services hold great promise for customers and the vendors that offer them, for the vast majority of enterprise customers there is still far too much hype surrounding what constitutes a cloud.”

Madden added that despite the ongoing confusion, cloud computing continues to attract widespread attention due to its potential for cost reduction and matching IT resources for real-life business needs. Because of this, he said, the evolution of the market can bring distinct opportunities to vendors.

“However one views the cloud market, service providers want to remain active participants in the evolution of cloud services,” Madden added. “Even if the hype level in cloud computing remains high, providers fear that not talking about cloud as part of their services portfolio could lead to customers viewing them as also-rans in this evolving market.” – John Mark V. Tuazon

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