Cloud Computing Grows In Finance, Concerns Over NSA

Grazed from Forbes. Author: Tom Groenfeldt.

For a long time IT experts in financial services said finance would never move to the cloud because of security concerns. That appears to be changing in capital markets, says Ovum, the UK consultancy. “Due to improvements in cloud security and a wider variety of applications, investment in cloud, by both the buy side and the sell side, is set for further growth,” the firm reports, while noting that the buy side leads in cloud adoption.

“The buy side tends to be an easier target for cloud than the sell side, given that more of its participants are smaller firms with limited IT budgets,” says Rik Turner, senior analyst, financial services technology, Ovum. “That said, the sell side is changing. With budgets and headcount under more constraints since the global financial crisis, there are clearly opportunities on that side of the business too.”…

Turner concludes: “Cloud services adoption in the capital markets has increased in the last few years. In the future, there will be an even faster uptake of cloud services. Although the process of migrating services to the cloud is often driven by cost constraints, there is also now a dimension of preparing a platform for the sector’s future evolution…

Read more from the source @ http://www.forbes.com/sites/tomgroenfeldt/2013/10/25/cloud-computing-grows-in-finance-concerns-over-nsa/