According to a recent Frost & Sullivan end-user study, 34% of organizations stated that Cloud Computing is their number one priority in the current fiscal year. One-third of organizations in Malaysia are using some form of cloud computing.
The end-user study, State of Cloud Computing in Malaysia 2011, finds that IT managers believe that cloud computing provides them with cost effective means to gain access to the latest technologies and improve responsiveness to business demand. Growing mobility is another factor that is driving increasing interest in adoption of Cloud computing.
"About 68% of enterprises have experienced or expect costs savings through the adoption of Cloud services," says Mayank Kapoor, Research Analyst for Frost & Sullivan's ICT team. "However, the concerns around security, privacy and sovereignty of data continue to hamper adoption, especially for Public Clouds."
Cloud services such as Software-as-a-Service (SaaS) continue to see high adoption, with Infrastructure-as-a-Service (IaaS) witnessing increasing interest.
"SaaS offers a number benefits over on-premise software such as lower upfront costs, standardization, ease of upgrade, ubiquitous access and seamless integration with in-house infrastructure leading to high adoption by Cloud users; 91% of cloud users use SaaS," says Mr. Kapoor.
However, enterprises will continue to remain cautious about putting custom applications, sensitive storage data and production environments on the cloud. Also, Cloud Bursting is gaining interest in the market as enterprises look to scale up infrastructure requirements from the Cloud to complement their own infrastructure.
Malaysian enterprises are looking for low and flexible price points and high security and privacy guarantees from service providers before making substantial bets on the Cloud model. According to the study, Microsoft, Google and IBM are the three service providers that enjoy the highest mindshare among Malaysian enterprises in both the Public and Private Cloud vendor categories.
"It is essential for service providers to develop trust among the local enterprises by developing solutions catered to their business needs, local currency based pricing, local support teams and partnering with strong local brands/telcos," says Mr. Kapoor.
He adds,"The Malaysian Cloud market is on a fast growth curve and an increasing number of enterprises will be making it their #1 priority in the coming years."
If you are interested in more information on this study, please send an email to Donna Jeremiah, Corporate Communications, at djeremiah[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country.
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