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BizCloud® Network | November 28, 2015

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Lack of Legacy IT Fuels Asian Cloud Computing

Integrating Cloud Computing solutions with existing legacy enterprise systems is not a trivial challenge. And the amount of legacy IT in the West presents an opportunity for China and other developing Asian countries to deploy Cloud Computing more aggressively, according to many discussions at a recent Cloud get-together in Shanghai that featured speakers and attendees from several parts of the world.

“Legacy IT impedes the move to Cloud,” stated Anand Ramachandran, Head of Enterprise Cloud Application Practice, Wipro. Ramachandran, who is based in Bangalore, India, said he has seen Cloud Computing growing so quickly in Asia that “we’re moving beyond standard objections…(and) Cloud providers are thinking in terms of getting paid a percentage of each transaction” rather than a fee based on computing resource usage.

He also noted that there are now a number of accounting questions being asked by prospective cloud deployers, in addition to technical questions, and that it behooves organizations “to get your smartest IT person and smartest financial person together” to discuss how to go about deploying Cloud.

Dr. Richard Zhao, Founder of the Great China Chapter of the Cloud Security Alliance, said that Cloud Computing initiatives in Asia “are pushing the leading edge, the envelope.” He said “Cloud Computing is moving faster than we originally thought it would” in Asia, and that all organizations face a number of security challenges, ranging from traditional Denial of Service attacks to “inside jobs” to those people in the world up to “nefarious” deeds.

Zili Xi, Director of the Shanghai Supercomputer Center, said that although China has historically lagged the West significantly in expenditures on IT, that he now sees “a cloud economy” developing. Although noting that people in China traditionally “like to own things,” Xi added that “when you position Cloud Computing in the service area,” it starts to become quite attractive. “Telco costs remain the biggest cost factor,” he noted, and he also decried a lack of standards at many levels.

But the prevailing wisdom was that the United States, for example, which has outspent China 10 to 1 on IT historically, must learn to be quite agile to keep up with what all predicted as a fast-growing Cloud Computing market in China and throughout developing Asian countries.

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