Cloud 2011: Moving into the Realm of an Essential IT Strategy

Cloud Computing - A Passing Trend or an Essential IT Strategy?

Cloud computing has been the subject of intense debate in the past three years, with arguments vying for the technology and hailing it as the next phase in enterprise IT management while challengers state it is only a new name for existing computing models. More recently however, a number of catalysts such as the increasing smartphone adoption and the current economic climate have pushed cloud computing to the forefront of business and consumer interest.

Visiongain expects the global market for cloud computing will grow from $30.6 billion in 2011 to $82.9 billion by 2016. The business segment is increasingly adopting different aspects of cloud services in order to capitalise on the numerous advantages offered in software, platform and infrastructure. Cost-savings, scalability, adaptability to market demands, faster time-to-market and flexible payment methods are enticing large enterprises as well as small and medium sized businesses into the cloud.

Capitalising Efficiently on Cloud Models

The cloud offerings available on the market today are as diverse as they are numerous. The spate of vendors and providers offer different types of models and services which can easily overwhelm those looking to capitalise on the benefits offered by the cloud. Choosing the right provider and service is critical to ensure the cloud offering is appropriate customer's needs. An unsuitable cloud solution can be a major disadvantage, wasting valuable resources, money and time.

This report will help businesses understand the cloud landscape and advises on the advantages and benefits of the different deployment models and service offerings. The spate of vendors and providers can become overwhelming due to the nascent and fragmented nature of the current cloud market which is only now maturing. The report breaks down the market into understandable segments, allowing for a more comprehensive view of the current offers and the different vendors:
• The Global and Regional Cloud Services Market - North America, Asia Pacific & Europe
• The Global SaaS Market
• The SaaS Market by Region - US, Asia-Pacific & Europe
• The SaaS Market by Applications - Customer Relationship Management, Enterprise Resource Planning, Supply Chain Management
• The Global and Regional PaaS Market - North America, Asia Pacific, Europe, Latin America and RoW
• Cloud Security Market
• The Global and Regional Infrastructure as a Service Market - North America, Asia Pacific, Europe, Latin America and RoW
• The IaaS Market by Application - Compute, Storage and Backup
• Vendor Share in SaaS submarkets - Customer Relationship Management, Enterprise Resource Planning, Supply Chain Management

What is Different about this Report?

This report tackles a relatively new and fast growing market which provides numerous opportunities for vendors and end-users alike. The report gives a holistic view of cloud computing and its relevance to the business segment, with a critical analysis of how companies can effectively leverage the cloud to best suit their needs. Case studies and examination of the different issues and risks relating to cloud services will enable companies to understand when and how to adopt cloud computing.

Who needs to read this report?

SMBs & large enterprises should read this report to understand the advantages and the risks of using cloud computing. This will help to evaluate when to adopt cloud services, which solutions are best suited to your company and how to effectively leverage the cloud in order to derive the maximum value for your business needs.

Analysts & IT specialists will gain a better understanding of how cloud services can enhance current IT management within enterprises. The report looks at addressing the concerns related to cloud services from a business, regulatory and IT perspective in order to give a holistic view of cloud computing as an IT strategy.

Vendors and service providers will gain insight from this report which analyses the different market segments and current players. The report looks at established, emerging and innovating vendors, their different offerings and the current and future value of the cloud market on a global and regional level.

Increase your understanding of this exciting market by ordering Cloud 2011: Moving into the Realm of an Essential IT Strategy today.

Global IT Hosting Industry

Table of Contents

Executive Summary
E.1 Cloud Computing - New Concept Using Existing Technology
E.2 Driving Enterprise IT Migration
E.3 Risks Barring Adoption
E.4 A Maturing Provider Landscape
E.5 Successfully Leveraging the Cloud for SMBs
E.6 Points Emerged from this Research

1. The Role of Cloud Services in Business
1.1 Business Problems With Traditional IT
1.2 The Emergence of the Cloud
1.3 Harnessing Computational Power
1.3.1 Grid Computing
1.3.2 Utility Computing
1.3.3 Virtualisation
1.3.4 Service Oriented Architecture
1.3.5 Autonomic Computing
1.4 Defining the Cloud
1.5 Cloud Computing Architecture
1.6 Types of Cloud Computing Services
1.6.1 Software as a Service
1.6.2 Platform as a Service
1.6.3 Infrastructure as a Service
1.7 Cloud Deployment Models
1.8 Aim & Scope of the Report
1.9 Questions Answered By the Report
1.10 Structure of the Report
1.11 Methodology

2. The Enterprise Approach to Cloud
2.1 Benefits of Cloud Computing
2.1.1 A Flexible and Dynamic Infrastructure
2.1.2 Focusing on Core Competencies
2.1.3 Driving Innovation
2.1.4 Expanding Collaboration
2.1.5 Mobile Computing
2.1.6 Lowering Costs
2.1.7 Variability
2.1.8 Shifting from a CapEx to an OpEx Model
2.1.9 A Faster Path to Market
2.1.10 Cloud Drivers & Enablers for SMBs
2.2 Limitations of Cloud Infrastructures
2.2.1 Data Loss
2.2.1.1 Data Theft
2.2.1.2 Data Corruption
2.2.2 SLA & Quality of Service
2.2.3 Legal Compliance
2.2.3.1 UK Case Study
2.2.3.2 US Case Study
2.2.4 Encryption Limitation
2.2.5 Customer Identification
2.2.6 Physical Security
2.2.7 Vis Major
2.2.8 Vendor Lock-In
2.3 A Delicate Balance
2.4 Using the Right Cloud Service
2.4.1 Software as a Service
2.4.2 Platform as a Service
2.4.3 Infrastructure as a Service
2.5 Cloud Deployment
2.6 Management Policies
2.7 Scrutinising SLAs
2.8 Weighing the Balance

3. Trends in Cloud Computing
3.1 The Public Cloud Model
3.2 The Private Cloud Model
3.3 Virtualisation Paves the Way to a Private Cloud
3.3.1 Integration
3.3.2 Automation & Self-Service Delivery
3.3.3 Transition
3.4 SMBs: Building the Business Case for Private Clouds
3.4.1 Advantages of a Private Cloud
3.4.2 Private Cloud Challenges
3.5 Hybrid Clouds
3.5.1 Test & Development
3.5.2 Flexibility & Scalability
3.5.3 SaaS Provisioning
3.5.4 Security & Compliance
3.5.5 Interoperability Issues
3.6 The Emergence of Cloud Aggregators
3.7 Cloud Adoption
3.8 SMBs and Start-Ups
3.8.1 US SMBs
3.8.2 European SMBs
3.8.3 Organisations in Emerging Markets (BRIC)

4. The Market for Cloud Services
4.1 The Regional Markets
4.2 The Cloud Services Submarket
4.3 The SaaS Market
4.3.1 The SaaS Market by Region
4.3.1.1 Asia-Pacific SaaS Market
4.3.1.2 European SaaS Market
4.3.2 The SaaS Market by Applications
4.3.2.1 Customer Relationship Management
4.3.2.2 Enterprise Resource Planning
4.3.2.3 Supply Chain Management
4.4 The PaaS Market
4.5 Cloud Security Market
4.6 The Infrastructure as a Service Market

5. Understanding the Provider Landscape
5.1 The Spectrum of Cloud Solutions
5.2 Mega Vendors
5.2.1 Amazon Web Services
5.2.2 RackSpace
5.2.3 Microsoft Windows Azure
5.2.4 IBM
5.3 Cloud Software & Application Vendors
5.3.1 Salesforce
5.3.2 CRM Market Leaders
5.3.3 ERP Market Leaders
5.3.4 SCM Market Leaders
5.4 Cloud Platform Vendors
5.4.1 Cloud Foundry
5.5 Cloud Infrastructure Vendors
5.5.1 Interxion
5.5.2 Cloud Storage Vendors
5.6 Cloud Security Vendors
5.6.1 Ping Identity
5.7 Cloud Provider Trends in 2011
5.7.1 Demand Outweighs Supply
5.7.2 Early Consolidation vs. the Proliferation of New Entrants
5.7.3 The Rise of Open Source Cloud Computing Solutions

6. Conclusions
6.1 Evolution of IT Outsourcing Solutions
6.2 Market Response and the Birth of the Cloud
6.3 Changing IT Professional Skills
6.4 Cloud Computing as an IT Catalyst
6.5 The Environmental Impact of Cloud Computing
6.6 Major Findings of the Report

Tables, Charts & Figures
Table 1.1 Challenges of Traditional IT Departments
Table 1.2 Utility Computing - Services Provided
Table 1.3 Types of Virtualisation
Table 1.4 Essential Characteristics of a Cloud Service as defined by the NIST
Table 1.5 SaaS Characteristics
Table 1.6 PaaS Characteristics
Table 1.7 IaaS Characteristics
Table 1.8 Cloud Deployment Models
Table 2.1 Cloud Benefits: Elasticity, Self-Service & Agility
Table 2.2 IBM Research Case Study
Table 2.3 Zurich Insurance Case Study
Table 2.4 Epsilon Case Study
Table 2.5 Cloud Challenges
Table 2.6 When to consider SaaS
Table 2.7 When to consider PaaS
Table 2.8 When to consider IaaS
Table 2.9 Public Cloud vs. Private Cloud Workload Considerations
Table 2.10 SLA Metrics
Table 3.1 Public Cloud vs. Private Cloud
Table 3.2 Hybrid Model
Table 4.1 SaaS Regional CAGR
Table 4.2 APAC SaaS Market CAGR
Table 4.3 European SaaS Market CAGR
Table 4.4 SaaS Submarket CAGR
Table 4.5 CRM SaaS Advantages vs. Disadvantages
Table 4.6 Global SCM SaaS CAGR
Table 4.7 SCM SaaS Growth Areas
Table 4.8 PaaS Services
Table 4.9 IaaS Submarket CAGR 2011 - 2016
Table 5.1 AWS Cloud Offerings
Table 5.2 RackSpace Cloud Offerings
Table 5.3 OpenStack Components
Table 5.4 IBM Cloud Offerings
Table 5.5 Popular Cloud Software and Application Vendors 2011
Table 5.6 Popular Cloud Platform Vendors 2011
Table 5.7 Popular Cloud Infrastructure Vendors 2011
Table 5.8 Popular Cloud Storage Vendors 2011
Table 5.9 Popular Cloud Security Vendors 2011
Table 6.1 Chromebook vs. Office 365

Figure 1.1 Grid Computing
Figure 1.2 Autonomic Computing
Figure 1.3 Cloud Computing Model
Figure 1.4 Cloud Computing Stacks
Figure 1.5 Cloud Deployment Models
Figure 2.1 IBM Survey on Mobile Software Application Development
Figure 2.2 Traffic Variability - Unpredictable vs. Predictable
Figure 2.3 Capacity vs. Demand Curves Figure 2.4 Time to Market - Traditional vs. Cloud Services
Figure 2.4 Time to Market - Traditional vs. Cloud Services
Figure 2.5: SMB Business Value Drivers & Enablers
Figure 2.6 What are your main concerns around adopting cloud services for your business?
Figure 2.7 Amazon EC2 Structure
Figure 2.8 Amazon EC2 EBS RDS Link
Figure 2.9 If you would never consider using the cloud for some functions, what are the reasons?
Figure 2.10 Cloud Policies and Procedures
Figure 2.11 SLA Risk Areas
Figure 3.1 Public Cloud Use
Figure 3.2 Conditions for Private Cloud
Figure 3.3 Virtualisation Advantages
Figure 3.4 Integration of Computing & Storage Platforms
Figure 3.5 Transition Phases from Virtualisation to Private Cloud
Figure 3.6 Private Cloud Use
Figure 3.7 Improved Hardware Optimisation
Figure 3.8 Private Cloud Challenges
Figure 4.1 Willingness to Consider ERP Deployment Options
Figure 5.1 Microsoft Windows Azure Platform
Figure 5.2 Microsoft Cloud Offerings
Figure 5.3 IBM Strategic Cloud Acquisitions
Figure 5.4 Market Players in IaaS
Figure 5.5 Leading IaaS Vendors, Emerging Players & Innovators 2011
Figure 5.6 PingConnect

Chart 2.1 Current IT Spending 2011
Chart 2.2 IBM Survey - Cloud Computing Expectations of IT Developers
Chart 2.3 Data Loss Incidents by Breach Type January - May 2011
Chart 3.1 Companies' Position in Relation to Cloud Computing March 2011
Chart 3.2 US SMBs using SaaS 2011
Chart 3.3 US SMB Market in Cloud Services 2011 - 2016
Chart 3.4 European SMBs Adoption of Cloud Services 2011
Chart 3.5 Number of SMBs in BRIC Countries 2010
Chart 4.1 Global Cloud Services Market Forecast 2011 - 2016
Chart 4.2 Cloud Services Market Share by Region 2011
Chart 4.3 Regional Markets for Cloud Services 2011-2016
Chart 4.4 Cloud Submarket Forecast 2011 - 2016
Chart 4.5 Cloud Submarkets Market Share Forecast 2011 & 2016
Chart 4.6 Global SaaS Market Forecast 2011 - 2016
Chart 4.7 Regional SaaS Market Forecast 2011 - 2016
Chart 4.8 SaaS Market Forecast in Selected Asia Pacific Countries 2011 -2016
Chart 4.9 SaaS Market Revenue Projections in Selected European Countries 2011 -2016
Chart 4.10 SaaS Application Submarket CAGR
Chart 4.11 Global CRM Market 2011 in Billions USD
Chart 4.12 Global SCM SaaS CAGR
Chart 4.13 Global PaaS Market Revenue Forecast 2011 - 2016
Chart 4.14 Regional PaaS Market Forecasts 2011 - 2016
Chart 4.15 Cloud-based Security Service s Market Forecast 2011 - 2016
Chart 4.16 Global IaaS Market Forecast 2011 - 2016
Chart 4.17 Regional IaaS Market Forecast 2011 - 2016
Chart 4.18 Global IaaS Submarket Forecast 2011 - 2016
Chart 5.1 Cloud Service Vendors - Market Penetration 2011
Chart 5.2 Amazon Total & AWS Revenues 2010 - 2011
Chart 5.3 RackSpace Total & Cloud Services Revenues 2010 - 2011
Chart 5.4 Salesforce Revenue Q1 2010 - Q1 2011
Chart 5.5 CRM SaaS Market Leaders 2011
Chart 5.6 ERP SaaS Market Leaders 2011
Chart 5.7 SCM SaaS Market Leaders 2011
Chart 5.8 Interxion Quarterly & Annual Revenue Forecast 2010 - 2011


Companies Listed
3X Systems
Abiquo
AccelOps
Akamai
AppDynamics
Appistry
Apprenda
AppScale
AppRiver
Asigra
Ariba
Arrow ECS
AT&T
Awareness Tech.
Axcient
Barracude Networks
BlueLock
Carbonite
Caringo
Caspio
CA Technologies
CentriLogic
CenturyLink
Cleversafe
CloudOptix
CloudPassage
Cloudscaling
CloudSwitch
CloudTran
Cordys
Credant
CSC
CTERA
Cumulux
Datapipe
Dell
Doyenz
Duo Security
eFolder
Engine Yard
ENKI
Enomaly
Epsilon
Eucalyptus
Flexiant
gCloud3
GigaSpaces
Gizmox
GoGrid
Google
Gordano
GridGain
GuardTime
Heroku
HP
i365
IBM
Ingram Micro
InMage
Intacct
Interxion
Intronis
JDA Software
Joyent
Layered Tech
LongJump
Logicworks
M86
McAfee
Manhattan Associates
MaxxCloud
Media Temple
Mezeo
Microsoft
Nasuni
NaviSite
NetSuite
Nirvanix
Now2Office
Okta
OpenStack
OpSource
Oracle
OrangeScape
OS33
OutSystems
Panda
Ping Identity
Qualys
RackSpace
RedHat
RightScale
SafeNet
Sage Group
Salesforce
SAP
Savvis
Scality
SecureAuth
Sentrigo
StillSecure
Skytap
SOASTA
SoftLayer
Sony
StorSimple
Syferlock
Symantec
Symform
Symplified
Synnex
Tech Data
Terremark
ThinkGrid
ThreatMetrix
Tibco
TrendMicro
Vembu
Veracode
Verecloud
Verizon
VMWare
WatchGuard
WaveMaker
Webroot
Websense
WorkXpress
Wyse
Zetta
Zurich Insurance