The number of businesses adopting cloud computing as an IT solution has been steadily growing since its introduction, with many of its adherents touting the efficiencies of the technology as well as price models, which follow utility-style instalments.

"There is a growing awareness amongst consumers and enterprises to access their information technology resources extensively through a 'utility' model, a development broadly called cloud computing," Arun Chandrasekaran, research manager at Frost and Sullivan, said.

"Cloud represents the next wave in the computing industry, as it strives to eliminate inherent inefficiencies in the existing IT architecture and deliver IT as a service to the end-users."

The research firm found that many companies adopting the cloud and related services have been tempted to try out the technology thanks to an appealing initial investment - far less than with traditional, on-premises servers - and a pricing model resembling utilities such as electricity.

They also stated that existing computing facilities at many enterprises are riddled with inefficiencies, as many servers and desktop computers, though running at full power, are not being fully utilised.

Chandrasekaran said a number of challenges exist for cloud computing in the minds of those looking to adopt the technology.

"Challenges for adopting Cloud computing are regulatory compliance, invisibility over data storage and access, SLAs, reliability of clouds and ownership of legal liability. However, there is no such thing as 'zero' risk. Businesses need to realize that with proper planning, risks can be mitigated."

Written by Jason Morton
 

Cloud computing remedies traditional IT inefficiencies