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Cloud the Business, Kill Depreciation

The numbers are talking: cloud wins the future. No matter your industry, you must quickly develop a cloud strategy. Anyone that tells you that you need those small servers in your IT room does not understand the future. Except if you are constrained by regulation, there is no need to waste money buying expensive hardware. The roll call is here: cloud investment would hit $81 billion this year.

The major cloud server operators are spending a lot of money on their data centers. The nineteen largest-led by Amazon, Microsoft, and Google-spent a combined $64 billion on cloud capital expenditures last year, up 22% from 2016, with the total forecast to grow 27% this year to over $81 billion, according to RBC Capital Markets. (Fortune)

Going cloud should not be hard, and all those excuses of security must be dealt with fast. There is nothing that takes Amazon or Google down that would spare your small servers. That you see them physically does not change the risk model.

Get real, go cloud. It saves you money, freeing cash for important things. It grows as the business grows. And you have zero (major computing system) depreciation to deal with. Cloud is a better option.

 

Still boils down to awareness, and clarity of intent. Ofcourse many businesses are still being wrongly advised and facts routinely misrepresented or muddled anyway, perhaps for pecuniary gains.

When you do not have an unlimited cash flow, wastefulness becomes a forbidden act, while responsible spending laced with sound strategy becomes the only acceptable act.

Again, all the small IT hardware manufacturers and sellers must start exploring new business areas, there might not be any viable activity in their current business within a decade. All the billions of dollars being invested in cloud infrastructures are for clients utilities, so the big cloud operators would have to recoup their investments, and with their clout and reach; nothing stops them from sending the small guys out of business.