European Economic Growth to be Fueled by Cloud Computing

European Economic Growth to be Fueled by Cloud Computing

October 23

As StorageCraft looks forward to global availability of its upcoming StorageCraft Cloud Services solution, considerations around European policy is central to our focus. It’s timely that IDC’s European Government Consulting associate vice president Gabriella Cattaneo is currently revealing enticing IDC study conclusions regarding the rollout of cloud computing in the EU.  “The migration to a new IT paradigm enabling greater innovation and productivity – the roll out of cloud computing – will generate substantial direct and indirect impacts on economic and employment growth in the EU,” comments Cattaneo regarding the IDC report findings.

In the study, IDC concludes that policy actions aimed at removing barriers to adoption of cloud services would have a strong impact on adoption in the EU, increasing the value of spending on public cloud services from €35.2 billion to €77.7 billion in 2020.  There are two different possibilities outlined in the report, “no intervention” and “policy driven.” According to the IDC study press release, the model developed by IDC infers if the EU adopts a “no intervention” policy towards cloud adoption, cloud could generate up to €88 billion of contribution to the EU GDP in 2020. However, if the EU follows a proactive a “policy-driven” scenario towards cloud, it would generate up to €250 billion GDP in 2020, corresponding to an increase of €162 billion over the “no intervention” scenario. Giuliana Folco, research vice president, European Industry Solutions explains, “We estimate that the cumulative impact for the period 2015-2020 will be €940 billion in the ‘policy-driven’ scenario, compared to €357 billion in the ‘no intervention’ one.”

Uncertainty about legal jurisdiction and location of one’s data in the cloud is reported as one of the main barriers to wider adoption.  In addition, difficulty to assess the trustworthiness of suppliers is another key barrier.  It’s no surprise that StorageCraft EU customers are eagerly looking to StorageCraft to provide a dependable cloud solution in their region.

Policy actions, to overcome the barriers the EU faces, include the harmonization of data protection and privacy protection regulation across the EU as well as clarifying data jurisdiction regulation.  EU-wide guidelines about which laws apply to data stored in the EU member states looks to be the likely outcome of the clarification exercise.

Interestingly, the IDC report also reveals that large and small companies alike pointed out that insufficient and patchy high-speed broadband coverage remains a serious obstacle to full cloud adoption in the EU. Perhaps EU infrastructure development and policy handling will both progress at a pace where cloud computing adopters can find all the pieces have fallen into in place soon.