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SaaS spending set to rise in 2011, survey finds

Rachel Wheeler Archive
Spending on software as a service (SaaS) and hosted software is expected to jump significantly in 2011, with a growing number of businesses looking to take advantage of cloud-based solutions.

According to a Savvis-commissioned survey, more than 60 per cent of companies questioned expecting an increase in spending on hardware, installed software, IT services and IT outsourcing.

The report, entitled Enterprise-Grade Cloud Computing Adoption: Trends and Purchase Requirements, was based on more than 170 responses to the survey.

In addition, more than 20 per cent of respondents said they were already using enterprise-grade cloud-based solutions for apps they own or manage and 45 per cent said they were expecting to be using such solutions within the next two years.

The survey also found that security has remained the most important factor during evaluation of cloud-based solutions, with more than 60 per cent of respondents saying this factor was "critical", Savvis said.

Posted by Paul Newman