Canadian Cloud Adoption Slow, But Picking Up Speed

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Cloud computing has dominated the industry in recent years, with almost every provider under the sun offering some variation of the service. Cloud’s ability to cut operational costs and improve flexibility is a great benefit to businesses, yet a recent study found that several Canadian executives are uninformed about cloud technology – despite it’s popularity.

In fact, only 10% of the C-level employees polled during the study said they were familiar with the cloud, and of that small group, only 45% could correctly define what the cloud is. This lack of education and understanding is having an impact on the implementation of cloud, putting Canada’s adoption rate 10% behind that of US companies – so what can be done to close this gap? Identifying the concerns of Canadian business leaders is the first step.

The three perceived barriers to cloud adoption by Canadian companies are:

  1. Security: With so many stories on large businesses falling victim to data security breaches, it’s no wonder why companies are proceeding with caution. Approximately 45% of study respondents believe storing information in the cloud is unsafe, with heavy hitters like Target and Home Depot cited as cautionary examples.
  2. Education: A study conducted by IDC found that several Canadian businesses believed there were regulations in place that inhibit their ability to use the cloud.
  3. Technology: Canadian business are still purchasing traditional hosting and outsourcing services, which can impede their adoption of cloud.

The next step is to address those perceived barriers:

  1. Security: Canadian companies need to look for cloud partners who are taking security seriously and investing in a variety of tools that have been designed to protect data. For example, do you feel safer putting your money in the bank or stuffing it under your mattress? Cloud providers have made investments to ensure their customer’s data is secure, much like banks invest in keeping your money safe.
  2. Education: IDC found that 66% of Canadian cloud users believe they surpass their peers in revenue growth, and 64% find themselves at a competitive advantage.
  3. Technology: Businesses could spend 8-12 weeks to get a server installed and configured, while cloud solutions may only take 8-12 minutes. Small and medium businesses in Canada have been the primary adopters of cloud so far, since they typically don’t have a reliance on legacy hardware – making the transition to cloud easier.

For Canadian businesses to level the global playing field, it’s important that they get serious about cloud adoption. The number of cloud providers in Canada is increasing, signifying that businesses are slowly but surely turning to cloud technologies. However, it’s important that companies do their research and partner with a provider who truly understand the cloud and can put any CIO’s mind at ease.

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