The Cloud Drives Growth Throughout The UK’s IT Industry

cloud computing uk

In recent weeks there have been many stories relating to the fact that some of the world’s largest tech corporations are starting to invest in cloud computing platforms for a global audience.

Google and Samsung are just two of the companies that look set to offer individual users the chance to store data in the cloud, following in the footsteps of dedicated services like Dropbox and homogenously integrated facilities bolted on to other products, like Apple’s iCloud.

However, reports on the positive impact that the growth of the cloud is having on smaller firms in the UK’s IT sector. It points out that the headline-grabbing nature of the big fish can often obscure the more modest, but no less significant successes, attained by budding businesses.

One such company that falls into this category is Interoute, which saw profits rise to £6.4 million last year, thanks to the uptick in cloud computing adoption rates.

CEO, Gareth Williams, said that 55 per cent of Interoute’s revenues are generated by the products which it offers through the cloud. He also said that not all of its clients are based in the UK, with international organisations like UEFA taking advantage of services which help the British economy.

Mr Williams said that he believes that it is possible to identify future trends in the implementation of cloud computing, with current predictions suggesting that video services that run on cloud platforms, will rise to prominence over the next few years.

Video conferencing is used by many companies which want to reduce the costs associated with having to travel to meetings and increase productivity because less time is spent on the move.

Mr Williams said that in 2011, about 15 per cent of Interoute’s revenue was based on video services and he anticipates that this will only increase in 2012.

Tablet devices like the iPad, which are becoming increasingly popular in the world of business, will help to put greater emphasis on video conferencing, according to Mr Williams.

While the FaceTime service offered by Apple is adequate for consumer use, in the business world, most would require something that is a little more powerful, scalable and suitable for more complex interactions.

This is something that Interoute and other companies are looking into developing, so that as demand for such services grows, they are able to meet the expectations of clients.

Interoute’s Terrence Wise said that most of its customers came from the small business sector, which suggests that there is a real desire amongst start-ups and fledgling firms to get a foothold in the market by harnessing cloud computing services.

Each day the company has to increase its capacity by the proportion that it began with, after its foundation 12 years ago, which hints at the stellar growth of the cloud industry in the UK and the border-crossing reach of this type of service.

Data security is still a major concern which is preventing some companies from migrating, according to Mr Williams. This does mean that growth, while strong, is still not quite as brisk as it could be, if fears over data protection could be allayed.

The good news is that ongoing work within the EC could eventually result in a continental law which ensures that information is properly protected when digitally stored, with a particular focus on addressing concerns relating to the cloud.

Once such legislation is in place, it will only be necessary for cloud providers to prove that they can offer a more consistent, affordable service than their rivals, in order to help the UK’s economy grow.

About the Author: Daisy Group Plc are an exhibitor at the 4th Cloud Computing World Forum, taking place on the 12-13th June 2012 at Earls Court, London. Daisy’s Cloud Product is better known as cloud select voice and has seen amazing growth during 2012.

Image: Brett Jordan / Flickr

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