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2014 UK Cloud Adoption Forecast to Grow 20 Percent

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2014 UK Cloud Adoption Forecast to Grow 20 Percent

July 11, 2014

Cloud adoption is big and growing in the U.K., according to a recently released study by Vanson Bourne on behalf of the Cloud Industry Forum.

Roughly 78 percent of UK organizations now use the cloud, and this is up 61 percent since 2010, according to the study. There has been a 15 percent growth in cloud adoption since September, Vanson Bourne found, and the annual growth rate in the U.K. should be around 20 percent by the end of this September.


Most of the cloud adoption in the U.K. is of the hybrid model, according to the study, with 85 percent of organizations mixing on-premise servers with cloud services.

More organizations should be making the switch as Microsoft (News - Alert) Server 2003 reaches its end of life. Currently 61 percent of those surveyed in the study were still using Microsoft Server 2003. When the next upgrade cycle comes, it is predicted by some that businesses will jump to the cloud.

“In the near term, adoption will be driven in part by the end of support for Windows Server 2003, which concludes in July 2015,” noted Alex Hilton, boss of the Cloud Industry Forum.

The study found that cloud adoption rate was highest among large enterprises, with a little more than 80 percent of large firms in the U.K. using the cloud. Small and medium-sized businesses had an adoption rate of roughly 75 percent, with public sector organizations lagging behind at 68 percent.

This presents opportunities for cloud solutions providers and the companies that serve them, such as CoreDial and its white label cloud services solutions; there’s still plenty of room to grow before the market is mature, especially in the public sector.

Flexibility is the primary reason for using the cloud, the study found. For the public sector, cost savings were the main driver.

Many organizations that use the cloud in the U.K. only use one cloud provider, the study found. Roughly 45 percent reported using only one cloud provider formally. Only 14 percent said they used four or more cloud providers, with 28 percent using two providers and 13 percent using three.

The most popular cloud services in the U.K. are Web hosting, email, CRM, data backup and disaster recovery.
 

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