When a major change arrives on the IT terrain it’s not always known what the consequences will be, and therefore for businesses a risk-managed wait-and-watch approach tends to prevail.
Cloud computing is one of these changes which is presently in its early stages, but companies are showing both significant interest and momentum in the space.
With the increasing adoption of cloud, one can make confident calculations about how the cloud revolution will materialize. What will happen to IT when cloud computing become the established and standard way of doing things?
Here are few predictions how IT industry will look like when cloud computing becomes the status quo.
Infinite capacity: Every system will be created to undertake huge amounts of data. When systems will be architected, capacity will not be an issue. Everyone will presume that potential capacity may be infinite, no matter how much data an application may be running or how many virtual machines the application topology includes.
The price of IT components declines steeply: Not only chips or disk drives, every part of the IT supply chain will become economical. Operating systems, application software and middleware will witness sharp decline in prices. Otherwise, they'll be replaced by free open source software components.
It is reported that many software vendors don’t shift to cloud computing as this will affect their pricing or profitability. If the existing players resist this trend, new entrants with market-friendly pricing will soon replace them.
Ironically, total investment on IT may rise. This increase will be driven by the fact that IT functionality imparts today's business offerings. Every new business offering includes IT, so growth proposals will itself increase IT investment. The difference between this situation and current situation is that IT won't be a back office support function but rather a customer-facing necessity.
IT streamlines IT: Running a business requires transparency of costs. The rise of public cloud providers has provided a yardstick that recommends IT to offer comparable transparency.
In addition, IT organizations will find another big challenge of legacy systems. These systems signify a huge haul on the capability of IT to align with the demands of business users who seek a partner in developing new IT-infused offerings. In future, it won’t be ample to direct legacy applications with as little additional spend as possible. Even with modest additional investment, these applications carry a cost structure of maintenance, etc., far superior than today’s offerings. For IT to be pertinent, it must shrink total legacy spend.
IT organizations have to be much more aggressive on this. Every CIO needs to assess existing systems and come up with a plan to reduce their cost, whether by trading with a SaaS equivalent or outsourcing operations to a low-priced provider.
With these trends, it is certain that Cloud will change the IT for better. The future of IT has never looked more promising.
Cloud computing is one of these changes which is presently in its early stages, but companies are showing both significant interest and momentum in the space.
With the increasing adoption of cloud, one can make confident calculations about how the cloud revolution will materialize. What will happen to IT when cloud computing become the established and standard way of doing things?
Here are few predictions how IT industry will look like when cloud computing becomes the status quo.
Infinite capacity: Every system will be created to undertake huge amounts of data. When systems will be architected, capacity will not be an issue. Everyone will presume that potential capacity may be infinite, no matter how much data an application may be running or how many virtual machines the application topology includes.
The price of IT components declines steeply: Not only chips or disk drives, every part of the IT supply chain will become economical. Operating systems, application software and middleware will witness sharp decline in prices. Otherwise, they'll be replaced by free open source software components.
It is reported that many software vendors don’t shift to cloud computing as this will affect their pricing or profitability. If the existing players resist this trend, new entrants with market-friendly pricing will soon replace them.
Ironically, total investment on IT may rise. This increase will be driven by the fact that IT functionality imparts today's business offerings. Every new business offering includes IT, so growth proposals will itself increase IT investment. The difference between this situation and current situation is that IT won't be a back office support function but rather a customer-facing necessity.
IT streamlines IT: Running a business requires transparency of costs. The rise of public cloud providers has provided a yardstick that recommends IT to offer comparable transparency.
In addition, IT organizations will find another big challenge of legacy systems. These systems signify a huge haul on the capability of IT to align with the demands of business users who seek a partner in developing new IT-infused offerings. In future, it won’t be ample to direct legacy applications with as little additional spend as possible. Even with modest additional investment, these applications carry a cost structure of maintenance, etc., far superior than today’s offerings. For IT to be pertinent, it must shrink total legacy spend.
IT organizations have to be much more aggressive on this. Every CIO needs to assess existing systems and come up with a plan to reduce their cost, whether by trading with a SaaS equivalent or outsourcing operations to a low-priced provider.
With these trends, it is certain that Cloud will change the IT for better. The future of IT has never looked more promising.
reference: http://itvoir.com/portal/boxx/knowledgebase.asp?iid=2137&cat=23
Jeric Canete BS Info 2-B
Bret Requiron BS Info 2-B
Arthur Epiz BS Info 2-B
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