Reuter is not only the oldest and one of the best-known international news agencies in the world, it is also probably the most respected. Everyone, from journalists to traders, knows that Reuter gets its facts straight, and that, when Reuter runs a story, the news is significant.
So when Reuter in the USA reported that some of the world’s most important software houses are restructuring their management to take account of the world impact of cloud software, it was clear that the recent decisions and actions of Oracle, SAP, IBM and others are about to have a major impact on the financial and strategic decisions of boardrooms throughout the developed world (http://www.reuters.com/article/2013/05/24/us-sap-cloud-idUSBRE94N0FW20130524).
The impact on the less developed world could be even greater. For industry leaders and decision makers in emerging economies, the cloud provides major opportunities to gain competitive advantage at limited cost. Adopting the best cloud resources enables growing businesses to have, almost instantly, computing resources that international companies would have struggled to afford only a decade ago.
All SMEs can benefit massively from the era of cloud computing. Their access to significant computing power and quality applications is no longer financially out of reach. They can tap into the same quality solutions that used to give the largest firms a competitive edge.
Attitudes to the importance of cloud-based software have changed dramatically in just a few months. Staff of IT departments in financial organisations, large public companies and government bodies are becoming justifiably nervous about the future of their jobs as cloud software providers relieve their customers of responsibility for the integrity and maintenance of data storage and security. Financial directors are seeing the improvement in the bottom line of businesses that have significantly reduced IT depreciation costs, and can see even greater reductions to come.
As CEO of Silicon Avenue, I firmly believe that the economics of computing power centralisation and the staff mobility and efficiency that it provides are driving the future of computing. We have entered a new, long, innovative era of software application delivery and consumption called cloud computing, and it is both unstoppable and irreversible. On-premise computing as we have known it for over three decades will progressively be totally replaced with cloud computing and a new breed of personal and specialist devices and interfaces that will support only this new model.
Reuter reports that SAP and rivals such as IBM and Oracle are dashing to meet surging demand for cloud computing, which allows clients to ditch costly internal servers and support infrastructure for externally managed cloud data centers. The company said it was now grouping all of its development activities and had put executive board member Vishal Sikka in charge of them from June 1 2013. It had also named board member Gerhard Oswald to oversee its new HANA Enterprise Cloud product.
“In record time, we went from being a startup in the cloud to being one of the largest companies in the cloud,” SAP Co-Chief Executive Jim Hagemann Snabe said during a conference call.’
Microsoft’s Steve Bulmer and Oracle’s Larry Ellison have already banked their respective companies’ entire future on the cloud. We have too and only work with cloud technology and SME customers making the move to the cloud to enhance their business productivity. Silicon Avenue is independent and growing fast, working closely with Xero, a cloud provider since day one and now one of the world’s fastest growing accounting software firms valued on the NZX at circa $2Bn and with over 200,000 paying customers.
Every day, fewer can doubt that the cloud is the future for computing. Each day, more firms abandon on-premise and step into that future to benefit now from the critical advantage that the cloud future provides.