IT Brief New Zealand - Technology news for CIOs & IT decision-makers
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Study: Cloud computing still too risky
Wed, 7th Jul 2010
FYI, this story is more than a year old

Nearly half of Oceania IT professionals say that the risks of cloud computing outweigh the benefits, according to an IT Risk study.

The study, carried out by ISACA, reports that CIOs are interested in the cloud as a cost reducing option but the risks involved in entrusting their information is holding them back.

ISACA added that IDC says that cloud services will outpace traditional IT spending over the next five years and will represent approximately AU$51 billion by 2013.

The report found that less than 10% plan to use cloud computing for mission-critical IT services and almost 30% do not plan to use it for any IT services at all.

“Moving to cloud computing represents a significant shift in how companies utilise resources, so it is not surprising that IT and business professionals feel there could be a number of potential risks in entrusting information to the cloud,” said Ria Lucas, International VP of ISACA and Investment Manager at Telstra Corporation, Australia.

“However the advantages of speed, cost, flexibility and access to high value services will drive the business demand for cloud services, as the rewards have the potential to outweigh the risk. What is important, is that the transition to cloud computing needs to be viewed as requiring major governance review involving a broad range of stakeholders and a governance framework to address the changed risk landscape,” he added.

This topic will be discussed at the Oceania CACS2010 Masters of Change conference in Melbourne from August 2nd to August 4th.