MANILA, PHILIPPINES, 15 NOVEMBER 2010 Big names in cloud computing in the Asia Pacific region have recently formed a group to fast track its market adoption.
Alcatel-Lucent, Cisco Systems, EMC, Microsoft, NetApp, Nokia Siemens Networks, Philippine Long Distance and Telephone Company (PLDT), Smart Communications, Rackspace, REACH, Telenor, and Verizon have formed the Asia Cloud Computing Association (Asia Cloud) as an open regional collaboration forum.
Foremost among its goals, the group said it will try to address some of the key issues and challenges in the adoption of cloud computing in the region. The objective is to seize market opportunities.
The business is estimated to grow to US$1.3 billion this year, excluding the Japan business, according to research firm IDC. In Japan alone, the market is expected to grow to US$29.2 billion by 2015, according to Japan's Internal Affairs and Communications Ministry
But like anything new, enterprises are still hesitant to jump in, citing lack of funds as one of the issues. But analysts and vendors also noted that the lack of understanding of how it benefits their business that is one of the reasons keeping companies from adopting.
Cloud adoption in the Asia Pacific region has yet to reach its full potential. The regulatory landscape and varying market maturity levels have fragmented the adoption of cloud computing in the region, noted Asia cloud chairman and REACH chief information officer, Sundi Balu. Organisations in Asia have voiced several concerns, particularly around security, service levels, and regulatory positions.
Balu said these concerns should be addressed urgently and that a regional alliance can help.
With Asia cloud as a platform, key stakeholders can collaborate on issues specific to Asia and enable faster and more efficient adoption of cloud computing, Balu added.
From the point of view of Mike Murphy, initiator of the Carrier-Grade cloud computing working group and head of technology Asia Pacific, Nokia Siemens Networks, said: Cloud computing will play a fundamental role in re-shaping how telecommunications service providers offer applications to end-users and how their internal systems are implemented. Asia Cloud Computing Association is a great vehicle for industry leaders to direct that re-shaping in a consistent manner.
To fast track market adoption, the industry association said it will evaluate global cloud standards and determine which can be applied in the region. It has set up working groups that will also try to help address the issues hindering market adoption. These include working groups on regulation and policy; security, taxonomy, and carrier-grade applications.
An Alliance Committee has also been established to work with other industry groups in the cloud market. A Marketing Committee is tasked to communicate with stakeholders.
Sign up for CIO Asia eNewsletters.