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Computing By The Numbers (Click Here)

Found the above article by Ryan Nichols in Computerworld interesting.   He provides a good summary on market numbers and some general observations.   He also ties into the drivers of cloud computing adoption, mainly agility or ease of responding to business change.   He also covers a trend of social computing and mobile web and how these might be integrated in SaaS offerings.  As an example, Salesforce.com has developed Chatter as a mobile application which ties into Salesforce.

Here is part of his article:

“…The market for public cloud computing services is large and growing, even if the exact numbers vary widely

IDC estimates the market for public cloud products and services at $16B in 2010, growing to $56B by 2014. Gartner more optimistically estimates the cloud market at $150B by 2013 while Merrill Lynch estimates the market at $160B by 2011. And of course, the article that spurred this post quoted AMI research‘s estimate that SMB cloud spending alone will reach $100B by 2014. Regardless of the exact numbers or the exact definitions of cloud computing that each of these companies used, the conclusion is that market for public cloud infrastructure, platforms and applications is large and growing much more quickly than any other type of IT spending.”

“Head-scratcher #1: If virtualization is growing and cloud computing is growing, how can the market for private enterprise servers also be growing?

Gartner estimates that virtualization is growing rapidly and that by 2013, 60% of server workloads will be virtualized. In addition, based on all the numbers we’ve already seen, public cloud infrastructure, applications and platforms are growing at 25%+. At the same time, IDC projects that the market for enterprise servers will double by 2013. If virtualization is increasing server utilization and cloud computing is moving applications to vast pools of shared infrastructure, then how can the market for servers be growing at this clip? It’s even more surprising if you factor in Moore’s law.”

Ryan Nichols is the Vice President of Cloudsourcing and Cloud Strategy forAppirio.

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