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Gartner: Global IT Spending To Grow 7.1 Percent In 2011

June 30, 2011 by Robin Wauters Leave a Comment

Worldwide IT spending is on pace to grow 7.1 percent in 2011, according to the latest quarterly spending outlook by Gartner. Analysts have revised overall IT forecast spending growth in U.S. dollar terms, up from their first quarter update, when they projected 5.6 percent growth for 2011.

“It is a bit surprising that we have not seen a more significant impact on our global IT spending forecast as a results of the Japan earthquake and tsunami, but despite widespread concerns about disruptions to the supply of critical components in the initial aftermath of the natural disaster, there has not been a dramatic impact on overall IT spending,” said Richard Gordon, research vice president at Gartner.

“For 2011 as a whole, we expect Japan IT spending to be down in local currency, but we expect a positive growth trend to emerge in the second half of the year and continue into 2012.”

Global IT services is forecast to reach $846 billion in 2011, a 6.6 percent increase from 2010. The computing and hardware segment is poised for the strongest growth with spending forecast to grow 11.7 percent in 2011.

Gartner’s latest forecast found that worldwide public cloud services spending is to total $89 billion in 2011, up from $74 billion in 2010. The market is forecast to reach $177 billion by 2015.

However, to put this growth in context, Gartner analysts said public cloud services spending was only about 2 percent of global IT spending in 2010, and by 2015 the level of spending on public cloud services will be less than 5 percent of the total spent on IT overall.

Filed Under: Featured Tagged With: gartner

2011 Will Be the Year of Platform-as-a-Service: Gartner

March 17, 2011 by Robin Wauters Leave a Comment

All the leading enterprise software vendors, as well as large cloud specialists, will introduce new platform-as-a-service (PaaS) offerings this year, making 2011 the year of PaaS, according to Gartner.

“By the end of 2011, the battle for leadership in PaaS and the key PaaS segments will engulf the software industry,” said Yefim Natis, vice president at Gartner. “Early consolidation of specialized PaaS offerings into PaaS suites will also be evident. New vendors will enter the market through acquisitions or in-house development. Users can expect a wave of innovation and hype. It will be harder to find a consistent message, standards or clear winning vendors.”

PaaS is a common reference to the layer of cloud technology architecture that contains all application infrastructure services, which are also known as “middleware” in other contexts.

PaaS is the middle layer of the software stack “in the cloud.” It is the technology that intermediates between the underlying system infrastructure (operating systems, networks, virtualization, storage, etc.) and overlaying application software. The technology services that are part of a full-scope PaaS include functionality of application containers, application development tools, database management systems, integration brokers, portals, business process management and many others — all offered as a service.

Today’s PaaS offerings come in a over a dozen of specialized types; however, during the next three years, the variety of PaaS specialist-subset offerings will consolidate to a few major application infrastructure service suites, and, over a longer time, comprehensive, full-scale PaaS offerings will emerge as well.

Gartner believes that during the next five years, the adoption of PaaS in most midsize and large organizations will not lead to a wholesale transition to cloud computing. Instead, it will be an extension of the use patterns of on-premises application infrastructures to hybrid computing models where on-premises application infrastructures and PaaS will coexist, interoperate and integrate.

Gartner predicts that by 2015, most enterprises will have part of their run-the-business software functionally executing in the cloud, using PaaS services or technologies directly or indirectly. Most such enterprises, will have a hybrid environment in which internal and external services are combined.

Filed Under: News Tagged With: Featured, gartner, PaaS, platform as a service

So Long, Alessandro, And Thanks For Breaking New Ground With Virtualization.info

January 3, 2011 by Robin Wauters Leave a Comment

After running virtualization.info, which has long been regarded as the leading resource for independent virtualization industry news and analysis, for a total of seven years, Alessandro Perilli on the last day of 2010 announced that he’s starting a new job today.

Perilli is now a Research Director for Gartner, where he will be covering cloud computing, virtualization and datacenter technologies in the firm’s IT Professionals research team.

As a result, Perilli will be stepping down from his role with virtualization.info. Kenneth van Surksum will be replacing him as editor of the site, as well as sister site cloudcomputing.info.

He has big shoes to fill.

We wish both Perilli and van Surksum all the best in 2011 and beyond, and will continue to subscribe to Virtualization.info, which has long been providing solid news on the booming industry we actively track as well.

Godspeed, guys.

Filed Under: News Tagged With: Alessandro Perilli, gartner, Virtualization.info

Gartner: Worldwide Virtualization Software Revenue Will Increase 43% in 2009

February 12, 2009 by Robin Wauters 2 Comments

Worldwide virtualization software revenue will increase 43 per cent from $1.9 billion in 2008 to $2.7 billion in 2009, according to Gartner. Global virtualization penetration is on pace to reach 20 per cent in 2009 from 12 per cent in 2008. Its adoption within the IT organization is driven by the need to reduce the total cost of ownership (TCO), enhance the agility and speed of deployment of IT needs and minimize carbon footprint.

Gartner’s definition of the virtualisation market includes server virtualization management, server virtualization infrastructure and hosted virtual desktops (HVDs). Gartner estimates that revenue from HVDs will more than triple from $74.1 million to $298.6 million in 2009 while revenue from server virtualization management software will increase 42 per cent from $913.9 million in 2008 to $1.3 billion in 2009. Revenue from server virtualization infrastructure will grow 22.5 per cent from $917 million in 2008 to $1.1 billion in 2009.

“Virtualization helps organizations to cut costs, better utilize assets and reduce implementation and management time and complexity, all of which are crucial in this economic environment,” said Alan Dayley, research director at Gartner. “Server virtualization management will be the primary source of growth in the virtualization market as hypervisor software functionality – key to virtualizing a server – rapidly moves to hardware. Server virtualization management technology in particular is designed to reduce TCO, reduce associated availability risk, and improve quality of service. In addition, building more manageability into infrastructure components provides technology suppliers with an additional source of revenue and a basis for competitive differentiation.”

“Although HVD is an emerging technology that currently represents 11 per cent of the virtualization software revenue market, it will account for a growing proportion of corporate users through 2013. Virtual desktop infrastructure feeds additional server virtualization needs because the users’ desktop data will now need to be managed in a virtualized server environment. Maturity and acceptance will result in a significant broadening of the addressable user population by 2010 and an acceleration in deployments. Gartner advises end-user organizations to define and optimize management processes for HVDs as they did for traditional PCs. Although HVD images are centralized and more standardized, the capabilities for managing them across their full deployment life cycles remain incomplete. To remedy this, they should budget for additional point-solution management capabilities.

“End-user organizations must build cost and benefit financial models to fully understand the financial impact of implementing HVDs, and make certain that cost and benefit exist as compared with those for traditional PCs,” said Phil Dawson, research vice president at Gartner. “There is a growing number of management providers, which represents an opportunity for end-user pricing leverage, but no vendor offers a complete set of server virtualization management functionality. IT organizations will have to undertake – or outsource – their own virtualization management system integration efforts or wait for better-integrated and robust toolsets.”

“From a vendor perspective, by 2013, Microsoft will challenge VMware as the dominant vendor in the server virtualization infrastructure market and will do very well in small and midsize businesses (SMBs). The server virtualization management market is currently wide open, with more than 100 vendors supplying products that meet some of the requirements in the management stack. As the management market matures, virtualization infrastructure vendors, the “Big Four” (BMC Software, CA, HP and IBM/Tivoli) and other management vendors will build and acquire more virtualization management capabilities, thus consolidating the market. On the other hand, the HVD vendor landscape is crowded, confusing, and full of opportunists.

Gartner recommends that vendors take advantage during this disruptive period by introducing leading-edge management tools in support of virtualization initiatives and ensure that virtualization-specific management products can integrate within existing management frameworks. Mr Dayley said: “The fast-growing server virtualization management and HVD markets are less consolidated, with scores of vendors trying to stake claim in the market.”

Filed Under: Featured Tagged With: gartner, prediction, research, revenue, study, virtualisation, virtualization, worldwide virtualization

Gartner Analysts: Virtualization Will Be Disruptive For Server And Storage Vendors

December 2, 2008 by Robin Wauters Leave a Comment

This comes from the 27th Annual Gartner Data Center Conference, which opened at the MGM Grand Conference Center in Las Vegas: virtualization is proving to be a disruptive trend for server and storage vendors, according to Gartner analysts.

“Virtualization should be seen as not just a tool for (server) consolidation, but as a modernization catalyst,” said Thomas Bittman, a Gartner VP and Chief of Research for its Infrastructure and operations area. “It’s changing how we deal with the business.”

As DataCenterKnowledge points out, Bittman foresees the emergence of a “meta operating system” – a virtualization layer between applications and distributed computing resources that will play a central role in the next-generation data center.

[Read more…] about Gartner Analysts: Virtualization Will Be Disruptive For Server And Storage Vendors

Filed Under: News Tagged With: analysis, analyst, Annual Gartner Data Center Conference, disruptive trend, gartner, Gartner Data Center Conference, research, Thomas Bittman, virtualisation, virtualization

Gartner Identifies the Top 10 Strategic Technologies for 2009, Virtualization and Cloud Computing Rule

October 15, 2008 by Robin Wauters Leave a Comment

Gartner analysts today highlighted the top 10 technologies and trends that will be strategic for most organizations. The analysts presented their findings during Gartner Symposium/ITxpo, being held through October 16.

Gartner defines a strategic technology as one with the potential for significant impact on the enterprise in the next three years. Factors that denote significant impact include a high potential for disruption to IT or the business, the need for a major dollar investment, or the risk of being late to adopt.
These technologies impact the organization’s long-term plans, programs and initiatives. They may be strategic because they have matured to broad market use or because they enable strategic advantage from early adoption.
The top 10 strategic technologies for 2009 include:
Virtualization
“Much of the current buzz is focused on server virtualization, but virtualization in storage and client devices is also moving rapidly. Virtualization to eliminate duplicate copies of data on the real storage devices while maintaining the illusion to the accessing systems that the files are as originally stored (data deduplication) can significantly decrease the cost of storage devices and media to hold information. Hosted virtual images deliver a near-identical result to blade-based PCs. But, instead of the motherboard function being located in the data center as hardware, it is located there as a virtual machine bubble. However, despite ambitious deployment plans from many organizations, deployments of hosted virtual desktop capabilities will be adopted by fewer than 40 percent of target users by 2010.”
Cloud Computing
“Cloud computing is a style of computing that characterizes a model in which providers deliver a variety of IT-enabled capabilities to consumers. They key characteristics of cloud computing are 1) delivery of capabilities “as a service,” 2) delivery of services in a highly scalable and elastic fashion, 3) using Internet technologies and techniques to develop and deliver the services, and 4) designing for delivery to external customers. Although cost is a potential benefit for small companies, the biggest benefits are the built-in elasticity and scalability, which not only reduce barriers to entry, but also enable these companies to grow quickly. As certain IT functions are industrializing and becoming less customized, there are more possibilities for larger organizations to benefit from cloud computing.”

Filed Under: Featured Tagged With: cloud computing, gartner, Gartner top 10 strategic technologies for 2009, research, strategy, top 10 strategic technologies for 2009, virtualisation, virtualization

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