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Frost & Sullivan: Australia's Infrastructure as a Service (IaaS) market to grow rapidly at a CAGR of almost 50% until 2018

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Frost & Sullivan: Australia's Infrastructure as a Service (IaaS) market to grow rapidly at a CAGR of almost 50% until 2018 PR Newswire SYDNEY, September 10, 2012 - Low barriers to entry, local data centre presence and cost benefits key drivers of IaaS adoption SYDNEY, September 10, 2012 /PRNewswire/ -- The adoption of cloud computing in Australia is experiencing robust momentum with increasing awareness of cloud computing driving an influx of market participants as telecommunications providers, traditional IT companies and pure-play cloud vendors offer various cloud solutions. Frost & Sullivan's latest report, Australian Infrastructure as a Service Market (IaaS), published in September 2012, indicates that many organisations, ranging from large organisations to SMBs, are moving beyond considering just the initial cost savings that are on offer by adopting cloud-based solutions, to also recognising the increased agility and scalability that adoption offers. "Most of the large organisations in Australia have now deployed a private cloud environment and many are considering or have begun implementing an increasing number of mission critical workloads in the cloud," says Mayank Kapoor, Industry Analyst, Datacenter and Cloud Computing, APAC ICT Practice, Frost & Sullivan. Despite the benefits of cloud, many IT departments are still reluctant to move to the cloud.
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Frost & Sullivan: Australia's Infrastructure as a Service (IaaS) market to grow rapidly at a CAGR of almost 50% until 2018
PR Newswire SYDNEY, September 10, 2012
- Low barriers to entry, local data centre presence and cost benefits key drivers of IaaS adoption SYDNEY,September 10, 2012/PRNewswire/ -- The adoption of cloud computing inAustraliais experiencing robust momentum with increasing awareness of cloud computing driving an influx of market participants as telecommunications providers, traditional IT companies and pure-play cloud vendors offer various cloud solutions. Frost & Sullivan's latest report,Australian Infrastructure as a Service Market (IaaS), published inSeptember 2012, indicates that many organisations, ranging from large organisations to SMBs, are moving beyond considering just the initial cost savings that are on offer by adopting cloud-based solutions, to also recognising the increased agility and scalability that adoption offers. "Most of the large organisations inAustraliahave now deployed a private cloud environment and many are considering or have begun implementing an increasing number of mission critical workloads in the cloud," says Mayank Kapoor, Industry Analyst, Datacenter and Cloud Computing, APAC ICT Practice, Frost & Sullivan. Despite the benefits of cloud, many IT departments are still reluctant to move to the cloud. Common barriers include perceived loss of control, data sovereignty and security concerns when they move their workload and infrastructure to cloud. This concern is more common for public cloud solutions and is one of the key reasons why many of the public cloud deployments in Australiaare predominantly non-mission critical in nature. The pure play IaaS vendors primarily global players and first movers such as AWS (Amazon Web Services) and Rackspace and recent entrants in the local IaaS market such as OrionVM, Cloud Central, Zetta Grid and UltraServe are witnessing good success in the Australia IaaS Market. "Telecommunications providers are actively moving into the cloud space and have a strategic advantage as they may leverage their strong network capabilities through their underlying network, and can offer private and public cloud offerings bundled with carriage. Telstra, Optus, Macquarie Telecom and AAPT have already embarked on cloud offerings as part of their strategic direction," said Phil Harpur, Senior Research Manager,Australia&New Zealand, Frost & Sullivan. "A fast growing category is the Managed Service Providers (MSPs) in the IaaS space. Dimension Data, IBM, Fujitsu, HP, and local providers such as Brennan IT, Harbour IT and Melbourne IT are all expanding offerings in the cloud computing," Harpur stated. Vendors in the IaaS market with a local data centre presence will have an edge over other players. Hence we are witnessing many of the local IaaS players