A/NZ governments warming up to the Cloud: NetSuite

A/NZ governments warming up to the Cloud: NetSuite

Cloud service provider also foresees increased competition in the space next year

The pace of migration to the Cloud by A/NZ governments in 2013 was quicker than the market anticipated, according to NetSuite APJ managing director and VP, Mark Troselj.

Although it is not a sector known for its swift decision making, Troselj said the adoption and move to the Cloud by local governments was surprisingly strong in recent months.

“We have seen a significant push at the federal and state levels of administration to embrace the Cloud as they rapidly realise the benefits of both Cloud based infrastructure and specific business applications,” he said.

In the retail space, Troselj saw retailers turn “en masse to the Cloud,” adding that the “sprint for survival” during 2013 was not unexpected but worth noting.

“Omni-channel retailing is no longer the big thing in the retail sector, rather becoming a requisite to retain relevance and market share,” he said.

Manufacturers and distributors will also likely adopt omni-channel sales models.

“In order to grow and expand their business, the ecommerce channel will be a top priority for such businesses in 2014 and beyond,” Troselj said.

Increase competition

Troselj saw the Cloud “leading the next wave” of IT innovation in 2013, and he foresees this trend continuing into next year.

With the continued popularity of the Cloud, the one side effect is the increase of competition.

“The big players will emerge with new and re-branded products to take advantage of the SAP void,” Troselj said.

“At the same time, new players will enter the market in a land grab for a share of an increasingly valuable market.

Larger organisations with existing investments in on-premise solutions are expected to start moving parts of their business to the Cloud in the coming months, which Troselj said will fuel demand for big system integrators.

Patrick Budmar covers consumer and enterprise technology breaking news for IDG Communications. Follow Patrick on Twitter at @patrick_budmar.

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