Cloud Computing: A Bright Forecast

Have you heard about the tech trend that's taken the industry by storm? Whether you've heard of it or not, Cloud Computing is the future of technology. Although not a completely novel concept, it is now beginning to drastically alter the technology playing field. Tech giants such as IBM, Microsoft, Google, and Sun are all racing to deliver new offerings for "the cloud". But with all the hype surrounding Cloud Computing, the concept can get a bit, well, cloudy. This month, we present you with a clear perspective on the tech buzzword that's changing the forecast for innovation.

Just as web 2.0 was the buzzword of 2008, Cloud Computing will undoubtedly take its place in 2009 and beyond. If you've heard of Salesforce.com, Google Apps, or Windows Live, then you've encountered examples of Cloud Computing. But what exactly does that mean? This somewhat hazy term can be confusing if you get caught up in the technicalities, but the underlying concept is simple enough. Instead of storing data and running applications on your local machine, you store it on a server over the internet. You probably won't know, or care, where that server is located. It is all up "in the clouds". You will therefore have your applications and software running on the internet as opposed to your company's network. As long as you have access to the internet and enough bandwidth, you'll be able to manage your files from wherever you are with whatever device you have.

Although this concept may seem distant to the everyday user, it is actually closely related to our increasingly connected society. According to Dennis Quan, a computer scientist in IBM's software group, "End-users in a sense are really driving this next phase of computing, because of the huge growth in demand for everything from mobile banking to video, accessed from any device with a web browser from cell phones to PCs." Cloud computing is made possible by advances in networking technology with Web 2.0 initiatives like using the Internet more for collaboration and sharing than for commerce.

The commercialization of Cloud Computing is still in its early stages, but will undoubtedly have an inescapable impact on business. Why? It is cheaper. Frank Gens, an analyst at researcher IDC estimates that for some, a move to the cloud could cut computing costs in half. However, along with these benefits come associated risks. If your business is run solely on the cloud, operations would come to a halt should there be a disruptions in connectivity. For this reason, as well as the fluid nature of Cloud Computing, its adoption is still modest – but growing rapidly.

As virtualization diffuses through the business world, the concept of loosely joined services running on a swift, flexible infrastructure should eventually make every enterprise a particle in the cloud. Lower costs and the incredible power that go along with Cloud Computing will drive corporate implementation across a broad variety of market sectors. For now, research, investment, and marketing are all vital to the diffusion and adoption of this promising tech trend.