A survey of government CIOs and other IT managers funded by VMware and conducted by an organization called MeriTalk reveals that 64% of those surveyed believe that cloud computing will reduce expenses and improve the delivery of government services. The same percentage also believe that cloud-delivered services will improve telecommuting and mobility for federal workers. In addition to the $14 billion in IT costs savings--from a total $35.7 billion annual budget--cloud computing is expected to produce annual savings of about 30% in reduced IT costs due to server consolidation, reduced IT staffing and other areas.
"Cloud computing allows you to take a vast number of resources and enable them to be elastic pools of resources. To take advantage of each others investments provides a ton of potential cost savings," says Aileen Black, VP of public sector business at VMware. VMware's virtualization technology is a critical component of any cloud computing service, she adds.
The survey also showed that agencies are most likely to deploy only private cloud services and little, if any, public cloud services. The IT services most likely to be deployed on clouds first are e-mail, administrative applications and collaboration platforms.
While acknowledging long-term savings from cloud computing, those surveyed said budget constraints will limit how much they can invest in the cloud. Sixty-one percent of CIOs and 31% of other IT managers cited budget issues as an obstacle. Black says most federal IT budgets are assigned to operation and maintenance and not to spending on new technology.