Cloud Computing: The Silver Lining in Economic Crisis?

Posted on October 20, 2008 / 2 Comments

Interesting point Kelly Glynn makes in apache.sys-con.com:

It isn’t easy to look on the bright side of an economic crisis. The unstable stock market is provoking widespread talk of “belt-tightening,” and already thousands of people have lost their jobs. However, there is a silver lining for cloud-based services: companies looking to cut IT spending are starting to take notice of Google Apps and other online productivity suites.

The relatively new concept of the cloud model makes some organizations wary. Up until recently, risk-averse companies and large established enterprises have seen little reason to ditch their trusted offline office suites and move their entire technical infrastructure onto the internet. But now, the economic recession and subsequent panic are sparking an interest in the lower costs of SaaS suites.

The cloud is now appealing to more than just small start-ups who can’t afford Microsoft’s expensive software. Larger companies are seeing the benefits of lower prices, the ability to defer costs, and added capabilities without added investments.

Read the full article in apache.sys-con.com here.

2 Comments

poojitha
October 20, 2008, 5:57 pm
Government doing cloude computing could be very dangerous…its a trap…..to rely on some one else for critical information…. in the future information is power……
Chanuka Wattegama
October 21, 2008, 7:48 am
Poojitha,

May I know from where you get the idea that *governments* would do cloud computing? Even RMS didn’t go that far. Apparent that government is making its role distinct again, but it will take more than a reborn Keynes to make governments offer SaaS. If governments want control, they always have more time tested moves to establish that. No need for innovation.

Information is power only in a free and open society. In controlled societies information means nothing. What can you with information in North Korea or Myanmar?