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More businesses switching to cloud computing

Rachel Wheeler Archive

Almost one-third of organizations plan to use or have already implemented cloud computing services to improve their business intelligence (BI) functions, according to new research.

Gartner's study indicated that the appeal of both cloud and software-as-a-service (SaaS) offerings is growing as companies seek an alternative to on-premises solutions that may be costly to run and difficult to maintain.

James Richardson, research director at the company, said the perception is that cloud-based BI platforms can provide a "quicker, potentially lower-cost and easier-to-deploy alternative".

However, he also suggested that many organizations are yet to reach a full understanding of cloud services and their capabilities.

Mr Richardson commented: "Despite growing interest, the market is confused about what cloud/SaaS BI and analytics are and what they can deliver."

The prices for 80 percent of cloud services will include a global energy surcharge by 2015, according to a prediction made by Gartner analysts last month.

Some data center operators already add an energy surcharge to their pricing packages, but the trend is expected to escalate rapidly.

Posted by Paul Newton