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Cloud Expo: Article

Cloud Computing, Big Data & Smart Mobile Apps to Drive IT Spending in 2014

Software registered the largest share of tech spending in 2013 and companies will continue to spend in this segment

Big bucks continue to be spent on hardware and software, with a marked increase in cloud services, according to a new report.

Forrester released the data of its annual survey on IT spending worldwide and detected areas with higher spending, including apps and tablets.

Forrester Research's annual report on worldwide IT spending split the amount of $2.06 trillion spent this year from businesses and governments between hardware, software and services related to the IT world. CIOs and IT decision-makers plan their biggest software spending increases in mobile applications and middleware, analytics, security, and collaboration software, according to an article on CloudTimes.org.

Software registered the largest share of tech spending in 2013 and companies will continue to spend in this segment particularly on smart and cloud computing in 2014. While investment in legacy applications (both desktop and server) begins to languish, most investment moves towards cloud computing solutions, SaaS solutions development and towards the smart computing, i.e., Big Data and mobile application development.

Software market spending increased to $542 billion in total investment. The market will grow by 3.3% this year and 6.2% in 2014, with a surge not impressive, but still stronger than any other technology category.

The mobile software and mobile apps segment is growing as consumers are now more inclined to tablets. Tablets market will grow by 36% this year with a turnover of $21 billion, dominated by Apple, Samsung and Microsoft.

Mitigating the Data Exposure Risk of Cloud-based Email
Cloud-based email use is growing at an incredible rate, and so too are the security services that protect email from the dangers of the Internet.

Of the concerns people have about cloud security, data control and data loss rank high - just second behind bring your own device concerns, according to a report from Infonetic posted on CloudComputingNews.Net. It's no shocker the market for cloud-based security services is growing at 69 percent.

Despite the popularity of texting and social networking, email remains the preferred method of communication in the enterprise, transporting not only the data within the messages themselves but via the attachments they carry with them.

While most large enterprises have had the management and security of email mostly under control for some time, the migration of email to the cloud requires proper planning and new methods of management to keep sensitive data from getting into the wrong hands - whether its unlawfully transferred or stolen, or simply accidentally sent where it shouldn't have been.

For enterprises that are moving email to the cloud, here are some points to keep in mind:

  • Consider a hybrid approach - keeping high-value email user accounts on-premises, maintaining strict management and encryption of their message flow, while allowing rank-and-file users onto the cloud where most providers don't have the robust policy engines or the robust message encryption required to ensure the strictest level of data security.
  • Even the basic policy enforcement and spam filtering offered by cloud providers may require access to your Active Directory and other LDAP sources. This creates security and privacy concerns that should be discussed among your team.
  • Identify which applications are tied to your messaging infrastructure and keep on-site. This is of the utmost importance as they may require access to data that you will not want exposed to the Internet.
  • Realizing unless you go private, the cloud is a publicly shared resource using shared resources and comingled databases and logs, which means forensics, log data, auditing, messaging tracking and other features you get on-premises either aren't available in the cloud at all or can take days to request it from the cloud service providers.

Obamacare's Gift to Tech: Cloud Computing
Cloud computing isn't just for helping the enterprise run a bit smoother, the service has also taken up residence in the healthcare industry.

The cloud computing market has been touted as one of the key, emerging growth areas for the world's largest software giants as enterprise marketing and IT departments flock to cheaper, faster and more efficient ways to manage, organize and analyze massive quantities of data.

Within this area of lucrative business opportunities is a segment gaining more and more attention thanks, in part, to a key, fast-approaching October healthcare implementation deadline mandated under President Obama's Patient Protection and Affordable Care Act (ACA): healthcare cloud computing.

"It's what our clients demand and what the marketplace is demanding," Barry Mason, vice president at IBM's Global Healthcare Payers division, according to an article on TheStreet.com. "Our clients want to shift their financial structures away from capital-based investments to where they can really increase their returns on investment. The market tells us this is about speed and flexibility at a reduced cost and that yesterday's way of developing IT systems and functions no longer cuts it in the market. We're enabling the business service and infrastructure changes needed to make that shift happen and to support what payers and providers see for implications."

"We're finding them literally flocking to the cloud," said Bill Crounse, MD, senior director of Microsoft's Worldwide Health division. "We're having really good conversations with healthcare customers today. They're interested, really excited about this new era of devices and services in cloud."

More Stories By Patrick Burke

Patrick Burke is a writer and editor based in the greater New York area and occasionally blogs for Rackspace Hosting.

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Most Recent Comments
jessicacristine 07/25/13 04:30:00 PM EDT

Great article! As an employee of a cloud company, I've seen how the cloud has evolved throughout the years. It's amazing how companies continue to migrate to the cloud and how the numbers will only continue to grow. This reminds me of an infographic I recently saw on a cloud ERP website. The infographic illustrates how ERP has changed and progressed through the years. Since the cloud is becoming a huge part of the ERP industry, I believe a good chunk of IT spending in 2014 will be in cloud ERP. Check it out here.

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