IDC: Cloud Spending to Hit $42B by 2012

KUALA LUMPUR, Malaysia -- According to IDC, worldwide IT spending on cloud services will grow almost threefold, reaching US$42 billion, by 2012. As the cloud computing model offers a much cheaper way for businesses to acquire and use IT, IDC expects its adoption to be amplified by the cost-cutting mantra of most organizations today.

In a recent IDC survey conducted with 696 IT executives and CIOs across Asia/Pacific excluding Japan (APEJ) to gather their views, understanding, current usage and planned usage of cloud computing, it was found that 11% of the respondents are already using cloud-based solutions. A further 41% of the respondents indicated that they are either evaluating cloud solutions for use in their businesses, or already piloting cloud solutions. When asked about their opinion of the current state of cloud computing, 17% of the respondents stated that although cloud computing is very promising, there are currently not enough services available to make it compelling.

Dr. Patrick Chan, IDC's Chief Technology Advisor for Emerging Technologies in Asia/Pacific says, "Future uptake of cloud computing looks strong. Over the next three years, as the use of cloud services expand from the domain of early adopters to that of the early majority, it becomes critical for IT vendors to develop strong cloud offerings, and play a leadership role in aligning their new cloud products and services with their organization, their traditional offerings, partner ecosystem, and customer and market requirements. IT vendors who fail to seriously contend for a leadership role will be left with a minority share of the lucrative pie."

IDC