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Cloud provides real benefits, study shows

A new report by research firm Ovum revealed that companies using cloud hosting services have the unique ability to be faster, more efficient and use fewer resources than organizations using traditional IT. In an earlier report, the analyst firm noted that many government agencies have been unable to develop sustainable and strong IT capabilities because of a lack of funding, resources and IT skills.

"Mature, enterprise-grade cloud services provide a cloud innovation edge to agencies - enabled by world-class ICT capabilities at a lower cost than would otherwise be possible," Ovum IT research director Steve Hodgkinson said.

The report found that companies leveraging the cloud are experiencing greater benefits than perceived advantages. Meanwhile, the risks and difficulties associated with the cloud are often less extreme than businesses originally thought, proving the cloud has the ability to substantially improve efficiency without adding uncertainty.

A separate study by Tata Consultancy Services noted that the adoption of cloud servers and solutions is on the rise throughout the world. As decision-makers continue to become aware of the technology and its true advantages, more organizations will likely deploy the services to enhance efficiency and gain a competitive edge over rival firms.

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