Cloud Expo: Europe is 12 months behind the US in cloud uptake

By Derek du Preez

03 Feb 2011

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Europe is a year behind the US in the uptake of cloud technologies, according to analysts addressing the Cloud Expo in London today.

Ninety per cent of revenue generated from the cloud globally is from the US and Europe, but of this only 27 per cent comes from Europe, according to analyst firm The 451 Group.

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"It is evident that Europe is one year behind the US when it comes to cloud uptake," said William Fellows, principal analyst for the research firm.

"When you examine revenues and adoptions in Europe, it looks how the US did 12 months ago," he said.

This is largely due to the support system in the US, where the US General Services Administration is providing help to both suppliers and the market generally, he said.

"However, we are starting to see this here, with plans being put forward by the Digital Agenda Commissioner Neelie Kroes, and the European Commission".

At the World Economic Forum last month Kroes outlined plans for how governments should ensure that effective data protection and the requirements of the EU single market do not "clash" with cloud computing.

This will be achieved with a series of pilots, technical and commercial research, and a rethink of the legal framework.

Fellows also pointed out that enterprises are starting to realise the benefits of cloud computing beyond simple cost efficiencies, which will push growth in Europe.

"The economic model of saving on costs is often cited as the main driver for migrating to the cloud," said Fellows.

"But the customers I go back and speak to again and again are telling me that actually flexibility and agility are the main benefits for them. The speed at which you can get to the market with this scalability is becoming more important."

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