Data quality news
Cloud computing ‘could reduce ICT operating costs by 25 per cent a year’
May 21 2012, 17:17 PM
New research from KPMG has found that cloud computing could cut costs by up to 25 per cent a year, as well as lowering capital expenditure costs by 50 per cent.
The report, based on Australian business use of cloud services, found that local businesses across a number of industries could reap significant gains by adopting public cloud services.
Such findings are likely to prompt businesses into using more cloud based services in the future to reduce the accumulation of unnecessary office equipment and software, as well as cutting costs.
"It is clear from KPMG's analysis that, should Australian organisations adopt cloud platforms as expected across their ICT requirements - as more mature markets such as the US suggest is likely - then the benefits at both the enterprise and aggregate economy level could be substantial," the report says.
"These include lowering ICT operating and capital expenditures by up to 25 per cent and 50 per cent respectively."
Using the country as a whole, the report estimates that the adoption of cloud across 75 per cent of relevant ICT spending would, after ten years, result in an increase in long-run GDP of $3.32 billion per year. Even if the figure dropped to 50 per cent, the GDP gain would still be $2.16 billion per year.
Posted by Neil Hill