Report: Enterprise adoption of infrastructure-as-a-service growing rapidly

Wednesday, September 01, 2010

The use of infrastructure-as-a-service is increasing rapidly among enterprises, according to a new report from the Yankee Group.

The report titled “Is IaaS Moving Beyond Just Cloud Fluff?” shows that 24 percent of large enterprises with cloud experience are currently using the pay-as-you-go infrastructure solution, and 37 percent more expect to implement IaaS within the next two years.

The adoption of IaaS has been much slower than that of software-of-a-service solutions. The report suggests this is due to certain barriers enterprises see with IaaS adoption, including virtualization security, regulatory compliance and challenges of migrating existing data.

“The desire to adopt is there, but IaaS solutions and providers still have some barriers to address,” said Sandra Palumbo, Yankee Group research fellow and author of the report, in a statement. “As adoption plans begin to mount, the time is now for service providers, systems integrators and others to solidify their solution and address the lingering concerns around the cloud.”

According to another report released earlier this year by Analysys Mason, the global market for enterprise cloud-based services will grow to $35.6 billion worldwide by 2015, with IaaS increasing from 30 to 40 percent over the next five years.