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Cloud Highly Considered in Outsourcing Contracts

by: Sarah Joson

Thursday, November 29, 2012 | Outsourcing News |

Preparing for Cloud Technology in Outsourcing Contracts

According to consultancy firm Information Services Group (ISG), more and more outsourcing contracts during the past two years were seen including provisions for cloud technology. Those with cloud provisions included in the contract grew from nine percent in 2010 to 27 percent in 2012.

Moreover, ISG anticipates 300 contracts with cloud provisions will be closed before 2012 ends. In ISG’s study, it was found out that 25 percent of service providers who participated in the survey highly consider including cloud features in future services and processes.
Meanwhile, ISG Emerging Technology Analyst Stanton Jones said not all of the cloud’s segments are experiencing uniform growth. He cited Software-as-a-Service (SaaS) as having the most growth potential particularly for human resources, customer relationship management, and collaboration. For larger operations, Infrastructure-as-a-Service (IaaS) will trail behind SaaS.

According to the Director and Co-founder of Google Apps and Amazon Web Services reseller Cloudreach, Pontus Noren, ISG’s report shows how the cloud is rapidly growing, and how companies are benefitting from its accessibility and ease of use.


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