Frost & Sullivan: European companies lag U.S. in cloud adoption

European businesses lag U.S. companies in terms of cloud service adoption, however, both markets will see increased usage of the technology over the next three years, according to a new report by Frost & Sullivan.

The research company found the bulk of cloud adoption is coming from large businesses that are seeking to improve their communications structure, and that companies in the U.S. are ahead of the curve relative to Europe due to greater exposure to the technology, and better macro economic conditions.

A survey of 1,028 IT decision makers in U.S. and European companies found 57 per cent of businesses in the markets are "cloud reliant", meaning they already utilise the technology. The remaining 43 per cent were classed as lagging, or holding an unfavourable view of cloud technology.

The research suggests that cloud usage fuels adoption: Frost & Sullivan said around 70 per cent of U.S. companies and 56 per cent of European businesses that currently use cloud computing find the technology to be highly effective, and that the positive experience is likely to lead to wider adoption.

Research analyst Karolina Olszewska noted that the majority of "cloud reliant" companies are located in the U.S., and that the technology is typically deployed by companies "in manufacturing, and in businesses of 20 to 500 employees, and businesses of over 10,000 employees."

At least half of the companies quizzed have already moved 50 per cent or more of their communications to the cloud, with email servers and collaborative applications topping the table in this respect. In contrast, the number of businesses that have moved telephony systems to the cloud stands at 27 per cent.

Frost & Sullivan predicted a quarter of companies will migrate 76 per cent or more of their communications to the cloud over the next three years, as the number of remote and mobile workers increases during the period.

Despite the predicted overall growth in cloud technology use for communications, Olszewska said the skew to the U.S. will be maintained over the next three years, because the "cost impact of supporting these new business needs will be felt more intensely by IT decision makers in the United States than those in Europe."

For more:
- see Frost & Sullivan's press release

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