International ThinkTank has released an extensive paper on the economics of cloud computing. Leading economists, policymakers, etc weigh in and discuss global issues, including the almighty cloud.
What is Internic?
The purpose of the International Think-tank on Innovation and Competition is to coordinate and promote research by independent international economists working on the subjects of innovation, competition, endogenous market structure, the protection of intellectual property rights, industrial policy, antitrust analysis and other economic topics of relevance to the understanding of high-tech and New Economy sectors.
Economics of Cloud Computing
Whether private, public or hybrid cloud… there is an economy within cloud services. Businesses, hospitals, governments etc….all will see a financial benefit to incorporating cloud services into their fiscal plans. Simply the cost of renting storage space instead of buying software and servers will make businesses beam.
Thinktank released an outstanding paper on the economics of cloud computing and it is well worth the read. The link can be found below to the paper. Here is a quick excerpt of it’s contents so that you can see for yourself the stellar work completed on this topic.
Second, cloud computing can provide cost efficiencies in the private sector, whose exploitation in all industries is directly related to the diffusion of what Lanvin and Passman (2008) call e-business skills in the managerial environment (the capability of exploiting new opportunities provided by the ICT and to establish new business). Liebenau (2010) has been studying the relationship between the character of the cloud and the organizational, financial and managerial changes that businesses need to make to take advantage of what is on offer. He has focused on different kinds of ICT budget issues, noticing that “for many functions the up-front costs can be much lower, reducing the entry barriers for small firms and providing many companies new opportunities for experimentation, prototyping, and containing risks.
There are so many dynamics to cloud computing and economics is just one of them. You will see in 2012 a huge increase in cloud providers and analysts alike.
