The impact of the Snowden leaks on the broader cloud computing industry
Mon 14 Jul 2014
The aftermath of the Edward Snowden revelations about spying by the National Security Agency (NSA) will mark a key evolution in the wider cloud computing market, says Gary Kim in a recent TechZone360 post.
He suggests that, amongst other ramifications brought about by the scandal, we will witness a shift of market interest from US vendors to vendors from other regions, as companies look to purchase services closer to home, whether this is at a local, regional or national level.
Kim also points to the influence the Snowden affair has had over sales, quoting by example IBM’s 4% drop in profit for its third quarter in 2013. However, he goes on to argue that it is truly hard to attribute drops in revenue to the Snowden revelations, and concludes that despite the threats posed by the spying cases “spending on cloud services seems destined to grow…”