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Last year cloud computing market was about 2% of IT market and now has grown to as much as 4%. Although it is still a small segment of IT spending it is in a high growth phase – “Green Fields.” Cloud Computing is garnering a tremendous amount of attention considering it is less than 5% of IT market. Two weeks ago at the Microsoft Worldwide Partner Conference just about every presentation somehow involved the cloud. I have seen it placed at the peak of the hype curve and recently seen articles suggesting that it may be the next bubble.

Cloud computing is getting a tremendous amount of attention because of the growth and more importantly it is a complete shift in the way that companies buy technology. Cloud computing presents challenges for the IT community as it is compelling in many ways but at the same time is extremely new to the customer and the suppliers. IT companies are scrambling to create models for the delivery of cloud services and how best to support the solutions. Nortec created our Nortec 24/7 suite of cloud services five years ago and we have been refining and working out the best practices. It has taken time to create the client reports, management processes and best practices on migrating and managing the cloud offerings.

There appears to be agreement among industry experts and IT business leaders that cloud computing will continue to grow at a high pace for the next few years. The real question is when will the growth slow and ultimately how much market share will be in the cloud when the growth flattens – Greater than 40%? We will see…

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