Is 2010 the year SMEs Fully Embrace Cloud Computing?

Section 1. Adoption of the cloud by SMEs

Question: Do you plan on using some "cloud computing" applications now or in the future?

The results show a significant rise in the acceptance of cloud computing among SMEs, with the proportion of businesses refusing to use cloud computing dropping by about a half. Whereas in 2008, this figure was 53%, now just 27% share this view. This reflects a growing awareness among SMEs of what exactly cloud computing is, and the benefits it can bring to small businesses.

Do you plan on using cloud computing?

Comparing with last year’s timeframe of adoption within 5 years, 73% plan to make the switch in this timescale, compared to 47% at the end of 2008 – a growth in popularity of nearly two thirds.

Do you plan on using cloud computing? 2008 vs 2009

Aggressively embracing the cloud

2010 is the year of the cloud for SMEs, with the research highlighting a much more ambitious rollout within the five years. Half of SMEs plan to be using cloud software by the end of 2010 (with 13% already use the cloud today and 37% planning to do so within 12 months).

When do you plan to adopt cloud computing? 2008 vs 2009

Further analysis

  • The sales, media & marketing industry is the most cloud-savvy, with 30% already using cloud software and 40% planning to do so within two years
  • Larger SMEs (those with 50 employees and upwards) are the keenest to adopt cloud computing, with 66% already using the cloud or planning to do so within 12 months. This is at odds with the general consensus that it is the smallest companies, with the least IT legacy, that are leading the charge to the cloud.

Already using/planning to adopt cloud computing within 12 months: By company size

  • By region, London is the most cloud-savvy, with 70% of SMEs already using/planning to use cloud computing within 12 months, with among the fewest never planning to do so (at 17%).
  • Businesses in the East and South East regions have shown the largest change in attitude with those refusing to adopt cloud computing shrinking from 67% (East) and 68% (South East) to 25% and 16% respectively.

Cloud computing adoption by region

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