September 21, 2011 11:00 ET

VCE Chairman Michael Capellas Outlines Cloud Computing Opportunities in Congressional Hearing

Recommendations Provided to U.S. House of Representatives' Subcommittee on Technology and Innovation

WASHINGTON, DC--(Marketwire - Sep 21, 2011) - VCE Chairman Michael Capellas appeared before the U.S. House of Representatives' Subcommittee on Technology and Innovation today to outline cloud computing opportunities and challenges within the U.S. federal government, domestic public and commercial sectors, and international markets. Capellas' testimony identified key barriers to cloud adoption and presented the recent findings of the TechAmerica Commission on Leadership Opportunity in U.S. Deployment of the Cloud (CLOUD2). Capellas served as co-chair of the CLOUD2 Commission, which included representatives from 71 leading U.S. companies and universities. The Commission recently published a Cloud Buyer's Guide, and finalized a set of actionable recommendations for driving U.S. cloud adoption. As part of the recommendations, the Commission crafted specific guidance for legislative actions to help establish an appropriate role of the government to drive U.S. innovation in the cloud, spur U.S. job growth and enhance overall U.S. competitiveness in the world market.

"Information Technology (IT) has been synonymous with economic prosperity since the middle of the last century," Capellas observed, "and the U.S. has been a major beneficiary of previous technology waves. We have now entered a period of rapid change where the shift to cloud computing is accelerating. But misconceptions and concerns with cloud computing may impact success for companies and agencies, and ultimately threaten U.S. leadership in IT. Tomorrow's winners at the company, regional, national and global level must recognize, adopt and embrace technologies, processes and policies that make them more competitive."

Capellas noted that many Americans already use cloud computing even if they are not aware of it. Social networking sites, e-commerce sites, mobile banking and real-time collaboration are examples of network enabled capabilities accomplished via cloud computing.

The CLOUD2 Commission cited analyst estimates that cloud computing revenues will grow by tens of billions of dollars within the next few years. Capellas warned that what is at stake is far greater than cloud computing revenue. "Cloud computing has the potential to both reshape the IT landscape and shift wealth between nations. Trillions of dollars of global economic wealth will be based upon competiveness in today's 24x7 world, and choosing cloud computing as a foundational element to IT can make companies, agencies and organizations more efficient, productive and agile. Continued U.S. leadership in IT is dependent upon U.S. leadership in cloud computing."

Capellas encouraged members of congress to absorb the Commission recommendations and act on them. "By changing restrictive policies and mandating progress toward cloud adoption where appropriate, congress can do its part to extend U.S. technology leadership and grow the number of high skilled jobs and improve productivity within our borders. The Commission recognized the need to enable many paths to cloud computing, and determined that interim steps can be instrumental in accelerating many customers' journey to cloud. Successful adoption of cloud technologies will increase the speed of business within government and U.S. companies, helping to ensure the U.S. can successfully compete in tomorrow's global arena."

For a live broadcast of the Congressional Hearing, see

For more information on the CLOUD2 Commission, including Recommendations and the Buyers Guide, see

About VCE
VCE, the Virtual Computing Environment Company formed by Cisco and EMC with investments from VMware and Intel, accelerates the adoption of converged infrastructure and cloud-based computing models that dramatically reduce the cost of IT while improving time to market for our customers. VCE, through the Vblock platform, delivers the industry's first completely integrated IT offering with end-to-end vendor accountability. VCE's prepackaged solutions are available through an extensive partner network, and cover horizontal applications, vertical industry offerings, and application development environments, allowing customers to focus on business innovation instead of integrating, validating and managing IT infrastructure.
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