Cloud Computing: From Servers to SaaS

Grazed from Midsize Insider. Author: Marissa Tejada.

Servers will increasingly be shipped to cloud service providers, a new survey by IDC finds, as cloud computing creates a shift in how servers are being used in today’s business world. This trend shows that more businesses are choosing to migrate to the cloud and software-as-a-service (SaaS).

Shipments for the Cloud

According to InfoWorld, IDC predicts that up to 30 percent of all servers that will be shipped in 2014 will be shipped to cloud services providers. Within four years, that number will increase to 45 percent. Part of the reason for this is that IT professionals are aiming to lessen the amount of servers that they manage. Other reasons include increased implementation of SaaS and virtualization technologies and plans by firms for data center consolidation. Businesses are getting rid of certain servers to acquire denser servers that can handle larger amounts of data…

The server, according to the survey, is not going away anytime soon. IT professionals will still be required to manage them, but the numbers shipped will simply be less, according to projections based upon the market trends and what IT professionals understand about managing them. IDC predicts that server revenue will decrease by about 3.5 percent this year. Those that remain interested in purchasing servers will seek integrated systems that do more by combining server, storage, networking and software. This group of firms makes up 10 percent of the market and will double by 2020, according to IDC…

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