Is Australia about to go through a cloud boom?

Recent evidence suggests that cloud competition in Australia is about to intensify. Australia’s high-tech population and its concern about cloud-hosting outside of the country should prove very tempting for cloud companies to set up domestically.

Technology research firm, Gartner believes that the cloud market spending will reach $2.4 billion this year, which is an increase of about 20% from last year. It is predicted that there will then be continual increases of around 16% per year until 1016.

Amazon Web Services has just set up in Sydney, with two ‘availability zones’ and Rackspace is launching its cloud data centre in Sydney, also. This should open up a number of cloud services to the Australian consumer.

Gartner says that they have “seen a lot of interest in cloud services, both public cloud and private cloud services, in Australia...so even when Amazon did not have a direct presence in Australia, Australia was one of the major countries of the consumption of public cloud services.”

Amazon’s cloud is already being used, with customers wanting a larger system to offload their workloads.

Gartner states that “Australia is one of the most virtualised countries on the planet right now", and that alleviating offshore cloud computing concerns would be a real boost.

For the Australian government and certain public services, having cloud computing sourced from Australian –based companies is very important. It may be more expensive to set up an Australian-based cloud computing company or company branch, but such are the consequences of protocol and security concerns.

The issue of data sovereignty and the cloud is not a new one, but in recent years, substantial measures have been implemented to put at rest the minds of large organisations.

Most of these measures are not just security systems, but the adoption of cloud hosting to manage non-critical data, logistics and so on. Even so, organisations whose information is sensitive have preferred private cloud solutions rather than using external companies.

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