EMEA SMB Cloud Computing Spend Estimated to be US$2.5 Billion in 2011 With 35 Million SMB Users on Cloud

SAN JOSE, California, August 3, 2011 -

Techaisle’s Cloud Computing research indicates that EMEA SMBs will be spending US$2.5 Billion on Cloud Computing in 2011 growing at a CAGR of 12 percent till 2015.

An estimated 35 million SMB users in EMEA are expected to use some form of Cloud by the end of 2011. UK, France, Germany will have a little more than 1 in 5 SMB Users on Cloud.

Techaisle expects SMBs, especially in developed countries, to use cloud services along with their on-site solutions until they become more comfortable with 24/7 availability of the cloud in a reliable and secure manner and are able to serve their mobile employees.

Among the various Cloud Computing categories, IaaS/PaaS show the fastest growth rate of over 27 percent followed by Business Productivity at 24 percent. The growth in Business Productivity adoption within the cloud bodes well for Microsoft (and its delivery partners who serve SMBs directly) which recently rolled out its Office 365 offerings for SMBs.

While developed countries spend much more on cloud-based services, emerging countries in EEMEA will show the fastest growth rate at 14 percent, unencumbered as they are by their legacy IT infrastructures. This not only reflects their low starting base but also a tendency of emerging markets to leapfrog into latest technologies along with the speed at which IT vendors introduce their latest offerings to these markets.

A logical progression of services adoption is emerging among SMBs. Storage and Security lead adoption, followed by email and Industry specific applications. Cloud Computing definition includes SaaS, IaaS, PaaS, CaaS (excluding voice). Managed Services has been excluded from the definition.

Channel Partners are the conduit but their biggest challenge is limited understanding of Cloud Computing by SMBs which restricts demand to simpler solutions that are not business critical.

Above data is available in individual country reports on SMB Cloud Adoption.

About Techaisle

Techaisle is a global SMB ICT Market Research and Industry Analyst organization. Techaisle conducts surveys with SMBs and channels to understand market trends, opportunities, buying behavior, purchase intent, and IT priorities. Techaisle offers its clients: SMB & Channels focused Syndicated Research, Primary Research, Competitive Analysis and Analyst Engagements. For more information on Techaisle or its global products/services, please visit www.techaisle.com.

Tavishi Agrawal of Techaisle, +1-408-365-4828, Fax, +1-408-253-0483, tavishi at techaisle.com