Cloud computing will play a critical role in helping organisations meet the threefold challenge of an explosion in data, IT budget costs and security threats, according to EMC CEO Joe Tucci.
Speaking at EMC World in Las Vegas, Tucci said the hybrid cloud – where companies rely on IT services provided from both the public and private cloud – will provide organisations with “the answer” to these challenges.
Tucci illustrated the scale of the difficulties facing organisations by citing IDC research that predicts that digital data will have grown 44-fold by the end of the decade, putting the world’s digital footprint at 35 zettabytes – or 35 billion terabytes.
What makes taming this information even more challenging is that 90 per cent of information inside an organisation today is unstructured data, he said, making it non-retrievable from inside a database because it is loose information – such as the data found in emails or on websites.
The on-demand, scalable model of cloud computing will allow organisations to meet this growth without an unsustainable increase in their IT workforce, he said, citing figures that forecast the number of IT staff will only grow by 47 per cent over the same period.
“This is unprecedented productivity,” he said.
Tucci said organisations were already seeing nearly three-quarters of their IT spend go on maintaining legacy IT infrastructure and applications.
“Only 23 per cent is helping the company to be more competitive, more committed to its customers and to become more efficient,” he said.
2011 is the year that most organisations will begin transforming their inhouse datacentres into virtualised private cloud platforms, he added, citing figures from analyst house Gartner that in 2011, 65 per cent of organisations will begin or have begun shifting their estate to private cloud.
“There is a big move to the private cloud and at the same time there are moves to the public cloud,” Tucci said, adding that the hybrid model gives organisations “control, a high level of efficiencies and tremendous [business] opportunities”.
He said the IT industry was undergoing major changes, with IT infrastructures being transformed into cloud platforms, applications being redesigned to run in the cloud and a proliferation of new tablet and smartphone devices entering the workplace.
“This is a massive change and a massive opportunity,” he said.
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