US leads Europe in uptake and exploitation of cloud says Frost & Sullivan
Thu 12 Jun 2014
US business has been more ready to adopt the cloud than Europeans owing to their higher exposure to the technology and better macro-economic conditions, according to market analysts Frost & Sullivan.
In its latest survey of IT decision makers across the two continents F&S finds that more than half of both US (70%) and European (56%) respondents who are currently using cloud technologies report that they find them to be “highly effective”, which, says the report “indicates that exposure to these technologies can lead to greater adoption”.
The research finds that 57% of cloud users are ‘cloud reliant’, while 43% remain ‘cloud lagging’ or have an unfavourable view of the cloud. “The majority of cloud-reliant users are in the US, particularly in manufacturing,” said Frost & Sullivan research analyst, Karolina Olszewska. “In the future, however, in the US, the government vertical sector and small businesses are expected to show the most marked increase in cloud technology adoption.”
The share of remote and mobile workers is expected to increase over the next three years, which is likely to have an impact on business technology requirements says Olszewska. “The cost impact of supporting these new business needs will be felt more intensely by IT decision-makers in the United States than those in Europe.”
In both Europe and the United States, it is email servers and collaborative apps that head the list of enterprise communication solutions that have moved to the cloud. But, only a quarter of cloud users have moved their telephony systems to the cloud.
Overall, European businesses allocate larger percentage of their revenue to IT budgets (0.67%) compared to their US counterparts (0.37%). Small businesses allocate the largest portion of their IT budget to customer care, medium businesses on mobile devices, and large businesses on network security.