Industry needs European guidelines to make cloud fly

1 min read

If European ICT providers are to succeed in the booming cloud market, politicians and business must work closely together to create the conditions for the cloud economy to keep growing.

So says Carsten Rossbach, partner at consulting analyst Roland Berger, which has published the results of a study into cloud adoption with ERP giant SAP. "One thing users are complaining of at present is that there are no consistent technical, legal or financial standards for cloud computing," explains Rossbach. "That includes data protection, for which there are still no pan-European standards. But European data protection must not stir up a fear of bureaucracy, but must become a seal of quality for 'Made in Europe'," he insists. The study, 'Survival of the fittest – How Europe can play a leading role in the cloud', concludes that cloud-related sales volume could grow to around $73 billion by 2015, and states that European ICT providers can benefit, but only if they start their own operations and European politicians create the right conditions. And we're not talking small beer. According to the study, the cloud economy will create at least 70,000 new jobs across Europe a year. "This could give the European jobs market a lasting boost, if the products on offer and background conditions are right," insists Rossbach. As Peter Lorenz, head of on-demand solutions at SAP, puts it: "Cloud computing represents a real revolution, for SMEs above all, because it will give these businesses access to IT architectures that only major companies could afford until now." He cites opportunities as including 'infrastructure as a service' (IaaS), where users can access external providers' computer and memory resources dynamically on demand, as well as 'platform as a service' (PaaS), providing development and run-time environments for businesses to write and run their own applications. "[SaaS and PaaS] are set to grow strongly and offer high profit margins in coming years. And this is where Europe has the chance to be involved," comments Rossbach. But for that to happen, he says Europe needs to implement a five-step plan. First, Europe should create a European legal framework to harmonise data protection and security. Second, there needs to be a European 'cloud gold standard', a European seal of quality for cloud services to increase acceptance of cloud applications. Third, European Union and member states should put more into supporting cloud-centred public sector research and development programs. Fourth, SMEs should be encouraged to use cloud computing, using EU funds in the current programme period. And fifth, the public sector as a major purchaser of IT solutions in Europe, should set the trend toward the cloud economy.