Telecom's Central Role In Cloud Computing

Without a robust communications layer, the concept of cloud computing is a nonstarter. All three dominant flavors of cloud computing — infrastructure-as-a-service (IaaS), software-as-a-service (SaaS), and platform-as-a-service (PaaS) — depend on fast, efficient, reliable communications. But connectivity is much more than the bit in the middle as enterprises considering cloud solutions must also choose the mix of cloud capability provided by the distant data center or the network. Consequently, the leading telcos will play an important role in the further evolution of cloud computing, although the leading current suppliers will remain dominant. In this, cloud computing services can be seen as the latest iteration of information and communications technology (ICT) — the fusion of IT and communications into one. Vendor strategists can take four lessons from this research: 1) Ensure that communications is a core aspect of your cloud computing solution design; 2) consider cloud computing as the second stage in the move to ICT; 3) build the cloud computing business case around both cost reduction and revenue generation; and 4) develop strategies to overcome the natural conservatism of "server huggers."