What Trends Will Shape the Cloud Computing Industry in 2014?

Although cloud computing is still a fairly new concept, it has come a long way in a short period of time. When this term first started gaining attention, people were very skeptical of it. From security to accessibility, people had so many concerns that it seemed like there were too many to overcome. However, because cloud computing was much more than just a buzzword, it was able to stand up to all the criticism. And as more people started getting on board with this idea, it was able to spread throughout larger and larger organizations.

While cloud computing isn't perfect for every single application in existence, it's a great fit for the majority. Because this industry is growing so quickly, there's still a lot of ground to be covered in terms of bringing on users to utilize cloud computing in one way or another. Since there is so much growth within this industry, it's worth looking at which trends are most likely to shape the path that this industry follows:

Businesses Pivoting Into Software Companies

The concept of the cloud has made it possible for just about anyone to connect with almost any type of data. Because that simple but powerful reality provides nearly endless opportunities for unique product offerings, the already increasing number of companies who choose to put software at the core of what they offer will only continue to grow.

Stiff Competition for Talented Developers

Not surprisingly, developers who are very good at what they do are already in high demand. And due to the fact that this industry's growth doesn't show any signs of slowing, that demand isn't going away. On the contrary, many companies are exploring a variety of recruiting and training programs to help secure the talent they need to make their cloud offerings a success.

Pressure on Private Clouds

Plenty of IT departments within companies have acknowledged cloud computing, but made it clear that they still believe this approach has too many security risks. A common solution has been the proposal of private clouds within organizations. While that may sound good in theory, the problem has been actually bringing them to fruition. Because plenty of companies have hit obstacles ranging from internal politics to budgeting, this is likely to be the year when many organizations decide if they instead want to make the transition to an existing cloud solution.

AWS Will Remain a Leader

In order for new technologies to gain real momentum and be taken seriously, it often takes the backing of a well-known company. In the case of cloud computing, that was exactly the role that Amazon played. When they launched Amazon Web Services (AWS) in 2006, many people didn't even understand what this offering was all about. And even for those who did understand, plenty thought that Amazon would shutter this project within a matter of years.

However, not only did Amazon continue moving forward with AWS, but they have been successful at establishing it as a leader within the cloud industry. As of 2012, industry analysts estimate that AWS generates over one and a half billion dollars in annual revenue for Amazon.

Battles Between Several Big Tech Companies

Since Amazon has shown that there is definitely a demand for this type of cloud service, it shouldn't come as a surprise that other big tech companies are expected to get serious about their cloud efforts. Specifically, most analysts agree that both Google and Microsoft will get aggressive with incorporating cloud technology into both new and existing offerings. Google has already taken steps in this direction with launches like Compute Engine.

Price will pay a major role in this battle as well. Moore's Law means that technology like system on module will continue to get faster and cheaper. Large companies can take advantage of increased performance and reduced costs by offering better cloud technologies to customers at even more attractive prices.
Only time will tell exactly what happens within the cloud computing industry. But, thanks to the rapid expansion and acceptance of this industry, it's safe to say that it's going to be around for a long time. And during that time, it's going to be very interesting to watch the type of innovation and other developments that take place.

Richard Smith is a technology blogger. What he loves most about having the opportunity to write about technology is being able to explain to people how new pieces of technology are going to make their lives even better.

Cloud hosting increasingly leveraged for business benefits

Cloud solutions have been increasingly sought out for their storage and collaboration capacities that can yield significant business improvements. As the technology continues to advance, many organisations are adopting the technology for storage and improved productivity benefits. With improved security measures, the cloud has become a more viable option for companies that take in a lot of data. However, there are still some challenges that businesses experience as they implement their solutions.

As a relatively young asset, the cloud is rapidly adapting to user needs as well as incorporating additional measures that will allow the technology to truly stand the test of time. Providers are experiencing some growing pains as offerings continue to expand, creating more as-a-service models and tackling any issues that may arise. According to a recent survey by Alsbridge, 90 percent of CIOs use the cloud, and 70 percent of those respondents have software-as-a-service for their platform, Computer Weekly reported. The assessment revealed that there was a wide gap between expectations and results as CIOs forecasted 74 percent operational cost savings and only achieved 41 percent. Because so many businesses are looking to reduce costs, this adds extra pressure to meet these demands. Meanwhile, organisations are still struggling with privacy, integration and data sovereignty. These obstacles are influencing adoption growth and the effective use of cloud hosting services.

"But in truth there is still caution around its wider adoption beyond SaaS and 'sand-boxed' platforms," Alsbridge head of IT outsourcing John Sheridan told the source. "Cloud may be a good fit for a small to mid-sized business model, but our study reveals that IaaS cloud adoption at a large corporate level is in fact still relatively low."

Using cloud to promote success
With all of the various factors to consider, it can be difficult to maintain a cloud environment and use it effectively. CloudTweaks contributor Brian King recently noted that byaccurately calculating savings, monitoring cloud use and creating policies, the organisation can establish a firm grasp on the technology. Having a view into the cloud will help ensure that data remains secure and deter potential breaches. The policies will similarly benefit the business by setting expectations and ensuring that users understand the implications of accessing sensitive information from mobile devices. Researching the various cloud environments will significantly aid in choosing the right one for the organisation's needs. This will guarantee that all solutions are considered and evaluated to maximize benefits. The information gathering stage will also allow companies to verify the provider's security measures in protecting data and enforcing disaster recovery efforts.

"The cloud has security implications that need to be addressed," King wrote. "Endpoint security can be put in place that monitors information as it travels outside of an organisation to reduce the risk of data leakage. Heavy fines can be levied against data leaks so it's important to take the appropriate measures to reduce the risk."

"The cloud has security implications that need to be addressed," King wrote. "Endpoint security can be put in place that monitors information as it travels outside of an organisation to reduce the risk of data leakage. Heavy fines can be levied against data leaks so it's important to take the appropriate measures to reduce the risk."

Brain Brafton loves and lives technology. To keep in contact with Brain find him on Google+ or on Twitter