New study suggests cloud computing equipment budgets surging

Wednesday, November 30, 2011

Spending for cloud computing equipment during the first half of 2011 surpassed $17 billion, according to a recent study conducted by Synergy Research Group.

During the first six months of the year, public cloud equipment accounted for 56 percent of all sales, while the private cloud increased by more than 30 percent compared to last year, according to the study.

The research firm also suggested that Infrastructure-as-a-Service, Platform-as-a-Service and Software-as-a-Service will experience exponential growth in the near future.

"Cloud unleashes the power of utility computing that has never been seen before and it becomes a game changer when matched with advanced communications and applications," said Synergy chief analyst and founder Jeremy Duke.

Duke also said the cloud is beneficial for companies of all sizes and the technology is expected to continue providing a vast array of benefits.

A recent list compiled by research firm Gartner expects the use of cloud computing and other technologies to have a significant impact in the next three years. According to its study, the cloud will remain in its infancy for the remainder of this year and into 2012, but is expected to have growth potential in most industries moving forward.