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Cloud adoption accelerates sharply among organizations in Asia Pacific, says Springboard Research
Driven by SMBs, the cloud is spreading fast across the Asia Pacific region InformationWeek News Network, August 17, 2010

Cloud adoption has accelerated sharply across all countries in the Asia Pacific, excluding Japan (APEJ) during the last 12 months, says the latest “Cloud Computing in Asia Pacific 2010 – End-User Adoption Trends” report from Springboard Research, a leading innovator in the IT Market Research industry. Springboard revealed that 45 percent of organizations in Asia Pacific, excluding Japan (APEJ) are either currently using or planning cloud initiatives, up from 22 percent in 2009.

“Cloud adoption and awareness have increased rapidly across the region, with particularly strong growth among cloud adopters in ANZ and cloud planners in ASEAN”, said Michael Barnes, VP of Software & Asia Pacific Research, Springboard Research.  “Nonetheless, security remains a primary cloud-related concern across the region, outweighing concerns over availability and performance as well as data privacy and residency”, added Barnes.

Small and Medium Sized Businesses are Aggressive Adopters
Springboard’s report found that Cloud adoption varies widely by organization size. Small and Medium sized Businesses (SMBs), particularly organizations with 100-299 employees, are the most aggressive adopters, with 54 percent currently using or actively planning to adopt cloud-based solutions. In contrast, only 36 percent of large organizations (more than 1000 employees) are currently using or actively planning Cloud initiatives.

Among the vertical industries, healthcare and retail are most bullish in terms of Cloud awareness, perceived relevance and adoption while utilities, manufacturing and government sectors currently lag.

Enterprise Applications are most widely used cloud-based solutions

According to the Springboard report, enterprise applications continue to be the most widely used Cloud-based solutions, as cited by 36 percent of APEJ respondents. The bulk of this category is comprised of CRM, as it is currently still the largest individual SaaS market in APEJ.

“APEJ organizations are particularly keen to exploit the cost saving potential of cloud solutions, with 49 percent viewing cloud as primarily a cost-saving measure, versus only 23 percent who mainly view as a strategic investment”, said Sanchit Vir Gogia, Associate Research Manager, Software at Springboard Research.

Among vendors, Google dominates in terms of both cloud mindshare and user adoption plans, but IBM and Microsoft have both made strong gains in cloud-related mindshare over the last 12 months.   


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