Is Cloud Computing Re-defining “Disruptive Technology?”

Ronda Peoples / March 16, 2015

Since the term “disruptive technology” was coined in the mid-1990’s, it has become an increasingly popular way for us to describe innovations that unsettle or replace established technologies or other ways of doing business. The label “disruptive technology,” however, might be an understatement when talking about the cloud. Opinions abound regarding the extent of the cloud’s disruptive potential but, according to some industry experts, “what makes the cloud so disruptive is that it compels legacy players to change their business models, including pricing strategy, sales channels and even basic technology” and it does this to “every industry it touches.”

The disruptive nature of the cloud is evidenced by a recent study conducted by Tata Communications, entitled “Has the Cloud Lived Up to the Hype?” Curious about whether or not cloud technology has delivered the transformative results many industry experts predicted, Tata conducted a survey of 1,000 organizations with at least 500 employees which are using some degree of cloud computing. The study was designed to measure whether the expectations the participants had when adopting a cloud solution ultimately have been met. The overwhelming answer to this inquiry was “Yes!” A full 85% of the respondents – comprised of high-level IT decision-makers – reported that the cloud has lived up to their expectations. What’s more, 23% of the participants reported that the cloud solutions they have adopted have exceeded their expectations.

Even more revealing is the study’s revelation of just how these cloud solutions are changing and benefitting the companies which have adopted them. Here are some of the benefits these IT leaders have realized from their move to the cloud:

  • 65% reported that cloud adoption resulted in an increased speed in overall technology access
  • 67% have seen a reduction in delivery times to customers and business partners as a result of streamlined business processes
  • 54% reported a reduction in the delivery time of new services to new markets and/or new geographies

In addition, 83% of the companies surveyed experienced unexpected benefits from their move the cloud, including an increase in productivity (69%), improved access to data (65%) and reduction in costs (63%). I’d call that a welcome disruption.

Blue Sentry is an advanced-tier Amazon Web Services (AWS) consulting partner specializing in application and data migrations, expert managed services and virtual desktops. Blue Sentry serves clients globally, with operations in North Carolina and South Carolina.