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Ried, Kisker and Matzke develop their article, The Evolution of Cloud Computing Markets, around the idea that the new cloud-based system is a successor of the entire previous computer era and a dominating, state-of-the-art leader of the market, going ahead of any competition. Cloud computing is reaching over more and more of the ICT’s core segments, increasing its own significance and influence on the area. The technical computing paradigms change with the introduction of the new technologies, and full implementation of the cloud computing would lead to the development of the Smart Computing paradigm. Cloud computing goes out of traditional bounds, leaving the single area of use, and self-transforming to fit in most areas of life.
Due to the integration of business and technologies, cloud computing gains more popularity and obtains stronger position in the world market. This happens as IT gets more integrated in business, international resource sharing and integration of people in the online society. Businesses tend to integrate the cloud computing systems in search of higher incomes and more efficient business evolution. Cloud systems allow cutting the costs by immediate access and skipping the necessity of extra spending on physical storage, and make businesses more flexible, capable of adjusting to the market needs in the shortest time possible. “Cloud washing” is a factor of false representing of the older technologies as the ones, using clouds, which makes a downturn for actual cloud operated businesses.
Cloud market can be represented in horizontal dimension, denoting the resources that are used, and vertical one, defining the subjects of resource sharing, which include private clouds, host (virtual) clouds, and public clouds. Cloud development leads to appearance of the new cloud business models that are characterized based on the vertical dimension approach. Public clouds represent the biggest common IT-market, with various people and businesses using clouds; private clouds are intended to serve for the licensing and consulting market, giving more privacy to their customers, while hosted clouds have the main goal of preserving the secrets of the businesses, allowing them to use outsourced data centers etc. Using cloud services predicts introducing of the new ways of vendor to user relations. Firstly, single-vendor sourcing would be replaced with virtual sourcing, using or skipping an actual physical vendor. Next, applications and platforms would be standardized, instead of customization for every new vendor; and finally, cloud businesses would be launched separately from the conventional counterparts, allowing rapid development of the first ones.
Forrester believes cloud computing would have different impacts on the business development over the time. It would make the investment in the IT area services oriented, make the product vendors change the approach to sales and orient on the long-term goals, turn the industry to the cyclical spending model, oriented on the changing demands of the customers, and decrease the IT area spending on data hosting in the short-term period. In the medium-term period business process outsourcing (BPO) would move to clouds, introducing new business models(BPaaS), changing traditional BPOs to the dynamic ones, and embracing private cloud models for the needs of the shared service centers. In the long-term period, Forrester predicts development of the new business models, based on clouds, which would include intercompany (collaborative) clouds, cloud brokers, and the cloud-legacy application integrators.
Forrester makes recommendations for the future successful development of the cloud computing in integration with business. According to the recommendations, vendors owners should focus on the particular segments of the cloud market, be careful while choosing the middleware areas of influence, search for the ways of moving to the new platforms from the decreasing ERP implementation markets, make effort on promoting hardware sales for the cloud service providers instead of private users, and redirect investment flow in the hosting portfolio management, messaging and positioning.