SOURCE: Virtacore Systems, Inc.

Virtacore Systems, Inc.

January 05, 2011 08:00 ET

Mid-Market Organizations Are Confused About the Cloud

Survey Commissioned by Virtacore Systems Shows Hesitation to Adopt May Be Fueled by a Need for Education Among Mid-Market Decision-Makers

STERLING, VA--(Marketwire - January 5, 2011) - Virtacore Systems, Inc., a leading provider of on-demand and custom cloud solutions designed for the mid-market, unveiled today preliminary results from a survey focused on cloud adoption and perceptions among mid-market organizations with between 100 and 1000 employees. Findings suggest a widespread lack of understanding of the definition, role and potential of cloud computing, with more than 64 per cent of mid-market workers readily admitting they do not understand the concept.

The survey's respondents included both IT (31 per cent) and business (69 per cent) professionals in mid-market organizations. Even among those who identified themselves as working on the IT side of operations, nearly half (48 per cent) admitted they didn't feel they understood what "the cloud" means. 

Survey results further highlight the confusion when examining the respondents' awareness of current levels of cloud adoption in their own businesses. Even among respondents who noted their organizations used specific technologies like Gmail, Google Docs, Salesforce.com and WebEx, 54 per cent did not realize these were cloud-based applications.

And contrary to the assumption within enterprise circles that the market understands the cloud's potential for cost savings, mid-market respondents actually point at lack of budget as the top barrier to adoption of cloud-based applications and services, with 47 per cent citing cost. Similarly, total yearly cost was cited as the top concern, just behind security in a range of drivers that also included ease and speed of deployment, compliance, visibility and control.

"While enterprises have already learned about the cost benefits and are now confident about security and compliance, the average mid-market has yet to uncover those basic first benefits of cloud computing, such as cost savings, ease of deployment and improved productivity," said Tom Kiblin, CTO of Virtacore. "We believe that additional education will lead to increased adoption of cloud computing in the SMB market. Virtacore looks forward to providing organizations with the necessary tools and support to successfully implement and benefit from cloud environments."

Results did seem to suggest it is worthwhile for cloud specialists to spend time on educating the mid-market, as respondents more than twice as often chose as the superior source of information "the consultant who explains the solution to me best" over "the trusted consultant I've worked with before" and "the vendor my top competitor uses" combined.

About Virtacore Systems
Virtacore Systems is a leading provider of hybrid cloud services, offering solutions to the developer market with vCloud Express (public cloud) and the middle market with vFabric Enterprise (private cloud), through the company's unified vCore platform. vCore enables our customers to quickly and easily add, remove, change or monitor your entire cloud (pubic, private, corporate) from a single unified portal. To learn more, visit www.virtacore.com.

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