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SMEs fail to take advantage of the cloud, study finds

Despite its well-documented cost-saving benefits, a surprising number of small and medium enterprises (SMEs) are failing to take advantage of internet-based software, storage and database marketing services.

This is one of the primary findings of a VMware study, which noted that on average SMEs tend to be slower in their uptake of the new technology than their larger counterparts.

The Daily Telegraph reports that the most common hosted service used by SMEs is remote data storage, while email and office software were the types of application most frequently accessed via the cloud.

Chris Jagusz, retail managing director at IT specialist Daisy Group, told the news provider: "The earliest adopters are technically-oriented start-ups with no installed base of systems, people who are comfortable with putting their applications and data in the crowd."

However, he noted that the majority of small firms still harbor concerns about switching to the cloud.

Despite this, industry consultants IDC forecasts that $55 billion will be spent globally by companies on cloud-related technology by 2014.

Posted by Rachel WheelerADNFCR-2366-ID-800512994-ADNFCR