USA Ranks 4th In World Cloud Computing Report
February 29, 2012
Are countries ready for computing in the cloud? The answer is not simple, says a recent Reuters report. According to the results of the Global Cloud Computing Scorecard, recently released by the Business Software Alliance, there are wide variations in countries’ readiness for a global network of cloud services, and this has serious implications for midsized businesses.
The Reuters report says the survey, released for the first time this year, rates 24 countries (which make up 80% of the world’s information and communications technology market) on their readiness for cloud business. The report does this by looking at applicable laws and regulations in seven national policy categories: data privacy, security, cyber crime, intellectual property, standards, promotion of free trade, and information and communication technology (ICT) readiness…
According to the Global Cloud Computing Scorecard, in terms of the policy framework for cloud business, the USA came out fourth in the survey, behind Japan, Australia and Germany, and just ahead of France. By contrast, some countries with major stakes in ICT and the software industry (India, China, and Brazil) languished in the bottom six. Any business looking to do global business in the cloud should note that in some cases the required policy infrastructure just isn’t there–neither is the underlying broadband technology needed for this global system to work. Even in the countries with the best networks (Japan and Korea), rollout is inconsistent. The report found that even countries with healthy national markets for cloud technology suffered from a "lack of alignment" across legal and regulatory sectors.
Privacy and Security
The report raises several issues of interest to midsized businesses considering doing business in the cloud. Among these are the enduring questions of data privacy and security. All businesses want to be sure that critical business information is private and secure before making the move to a cloud-based storage solution, but the report shows that they just can’t be certain of this on a global scale. Korea scored best in this area, thanks to changes in legislation in 2011. Other countries are still trying to catch up.
Until governments solve privacy and security policy issues, there is no incentive for midsized business leaders to adopt cloud solutions wholesale. At the same time, most business leaders must be aware that the cloud isn’t going away. An aligned cloud business market enhances global competitiveness for all business; without it, there are obstacles to productivity and the resulting economic benefits.
So what does this mean for owners of midsize businesses who are thinking about cloud-based solutions? If you’re doing business in one of the top five countries in the survey, then the policy systemis developed enough for you to consider making the move. If you’re elsewhere, then perhaps it’s a good idea to watch developments on legislation, privacy, and infrastructure before you adopt a cloud-based business environment.