Australian companies appreciate IaaS scalability, agility

As cloud services become more widely acknowledged and understood, decision-makers around the world are adopting the technology in an effort to remain competitive with rival firms at a lower cost. While this trend is happening around the globe, it is particularly noticeable in Australia, as both large and small organizations are implementing the cloud at an increasing rate.

A new report by Frost & Sullivan noted that Australian companies were at first drawn to the cost-saving benefits of the cloud only to realize the advantages of using the technology go far beyond reducing expenses. Now decision-makers are beginning to understand the increased agility and scalability achieved through deploying the hosted services.

"Most of the large organizations in Australia have now deployed a private cloud environment and many are considering or have begun implementing an increasing number of mission-critical workloads in the cloud," said Mayank Kapoor, cloud industry analyst at Frost & Sullivan.

In addition to the private cloud, decision-makers are leveraging Infrastructure as a Service cloud models in an effort to boost flexibility in the data center. In fact, the analyst firm expects the Australian IaaS market to expand at a compound annual growth rate of nearly 50 percent through 2018.

Traditional cloud computing inhibitors still delay adoption
Frost & Sullivan noted that IaaS and other cloud models can be extremely advantageous for organizations looking to remain competitive in today's highly volatile business landscape, as the technology enables companies to experience significant cost savings associated with reducing hardware and maintenance expenses. The cloud also has low barriers to entry, making it possible for organizations of all sizes to adopt the cloud without worrying about problems.

Despite these benefits, however, Frost & Sullivan noted that there are still a number of inhibiting qualities that make it difficult for some decision-makers to come to terms with the cloud. In most cases, these fears relate to losing control over data in the cloud or not having enough security.

A separate report by Mashable said that these concerns are often groundless and irrational, as many cloud-based environments are even more protected than traditional data centers. As the cloud continues to gain momentum in the private sector, businesses need to keep security at the top of their priorities without letting it jeopardize entire cloud projects, as the advantages of using the technology often outweigh unreasonable fears.

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