Risk-Averse Verticals Embrace Cloud Computing - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
Cloud
Commentary
6/24/2010
06:57 PM
John Soat
John Soat
Commentary
50%
50%

Risk-Averse Verticals Embrace Cloud Computing

Two of the most risk-averse vertical industries recently announced big commitments to cloud computing. Does this mean the cloud's security challenges have been solved?

Two of the most risk-averse vertical industries recently announced big commitments to cloud computing. Does this mean the cloud's security challenges have been solved?

Let's face it, financial and healthcare firms aren't known as big risk takers when it comes to security. Yet both of those industries are indicating a strong interest in investing in cloud computing strategies.

The Securities Industry and Financial Markets Association (SIFMA) and IBM recently conducted a survey of approximately 250 IT and business managers on Wall Street. The results demonstrate an increasing interest in IT investment among respondents, after a couple of years of reluctance.

According to a release by SIFMA, the financial industry has been holding back due to a lack of IT talent and the intimidating cost of implementing new technologies. However, "To overcome some of these challenges, the industry is showing a larger appetite for disruptive technologies such as cloud computing (61 percent) to force business model change," according to the release.

A similar surge in interest in the cloud is in occurring in the healthcare industry. According to a recent news story at InformationWeek.com, "Nearly one-third of healthcare sector decision makers said they are using cloud applications, and 73% said they are planning to move more applications to the cloud, according to a recent report by Accenture."

It's not that security in the cloud isn't still a concern for both industries. But it's a known, and perhaps better understood, factor. An Accenture expert quoted in the news story says healthcare firms are beginning to realize that cloud providers actually may offer more robust security "than is available in-house."

And another InformationWeek news story cited several Wall Street IT professionals, speaking at a conference last month in Las Vegas, to the effect that cloud computing is compelling especially in the form of "private clouds," that is, cloud-type services delivered from behind the corporate firewall.

So, while security is still a legitimate concern, it doesn't seem to be the show stopper it used to be, as organizations calculate security factors into their cloud strategies.Two of the most risk-averse vertical industries recently announced big commitments to cloud computing. Does this mean the cloud's security challenges have been solved?

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
Slideshows
7 Technologies You Need to Know for Artificial Intelligence
Jessica Davis, Senior Editor, Enterprise Apps,  7/1/2019
Commentary
A Practical Guide to DevOps: It's Not that Scary
Cathleen Gagne, Managing Editor, InformationWeek,  7/5/2019
News
Data Science Salary Survey Reveals Market Shift
Jessica Davis, Senior Editor, Enterprise Apps,  6/27/2019
White Papers
Register for InformationWeek Newsletters
State of the Cloud
State of the Cloud
Cloud has drastically changed how IT organizations consume and deploy services in the digital age. This research report will delve into public, private and hybrid cloud adoption trends, with a special focus on infrastructure as a service and its role in the enterprise. Find out the challenges organizations are experiencing, and the technologies and strategies they are using to manage and mitigate those challenges today.
Video
Current Issue
A New World of IT Management in 2019
This IT Trend Report highlights how several years of developments in technology and business strategies have led to a subsequent wave of changes in the role of an IT organization, how CIOs and other IT leaders approach management, in addition to the jobs of many IT professionals up and down the org chart.
Slideshows
Flash Poll