Growth in Cloud Computing Market Accelerates Rapidly

According to research firm Gartner, worldwide sales of cloud computing Software as a Service (SaaS) applications and solutions will reach US$7.5 Billion in 2009, a nearly 18% increase over 2008.  Gartner further expects sales to more than double, reaching US$14 Billion by 2013.

These estimates represent an increase in prior Gartner estimates, as growth in cloud computing now is happening faster than originally predicted.

Our view is this:

Big, highly-publicized moves to Cloud Computing, such as the City of Los Angeles moving to Google Apps, establish credibility and signal the market that cloud management and security is up to the task.

Small and mid-size businesses have much to gain.  Cloud-based solutions free smaller businesses from the disproportionately high overhead and operating costs of many in-house solutions.  While cloud-based solutions may not meet the needs of all businesses, for many they provide better capabilities with greater reliability at lower costs.