Cloud Computing as a Threat to Older Tech Companies
The International Data Corporation, whose technology analysis and predictions influence a lot of corporate purchases, foresees the creation of a new high-technology industry in the convergence of mobile devices, social networking, and cloud-based computing and data storage. As a result, the company says in a new study, many industry giants will scramble to sustain relevance, and some upstarts will achieve leadership positions or be purchased.
Frank Gens, IDC’s chief analyst, who led the study, said, “The incumbents are facing a huge transition.”
Spending on the new technologies will reach nearly $700 billion, or about 20 percent of the $3.5 trillion in hardware, software, and services spent on information technology worldwide, IDC said. As a great deal of spending in the sector goes toward maintaining older systems, such a share for relatively new technologies is surprising. Spending on the new technologies is growing six times that of traditional computer servers and personal computers, IDC said, and by 2020 will be 80 percent industry growth…

