Geoprise Sees Asia Pacific Cloud Computing Lagging by 3 Years or More, Forecasts Cautious Mainstream Adoption

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Geoprise Technologies today released a new study, "Forecast for Asia: Partly Cloudy Computing, Chance of Mainstream Adoption." Their report, available from the Geoprise Web site at http://www.geoprise.com, reveals that the Asia Pacific region hasn't reached the peak of the cloud computing technology hype curve just yet. The firm believes that mainstream cloud computing adoption is likely to occur within the next 5 to 10 years, and not within the next 2 to 5 years as many industry observers are generally predicting.

Despite the cloud computing hype in America and Europe, Geoprise Technologies has found that the Asia Pacific region hasn’t reached the peak of the technology hype curve quite yet, according to its study, “Forecast for Asia: Partly Cloudy Computing, Chance of Mainstream Adoption” which Geoprise released today. On the contrary, according to Nelson Nones, Geoprise Chairman and CEO, “mainstream cloud computing adoption is likely to occur within the next 5 to 10 years, and not within the next 2 to 5 years” as many industry observers generally predict.

These findings are based on an in-depth analysis of fundamental conditions and the availability of public cloud computing services in 34 Asia Pacific countries, drawing upon the firm’s first-hand experience helping its clients in the region to chart their cloud computing strategies over the next 3 to 5 years. One of the study’s most startling findings is that well-known SaaS (Software-as-a-Service) offerings for businesses cannot be purchased today in over half the Asia Pacific countries studied, even though they are almost universally available in the United States (US) and Europe. Moreover, none of these offerings are currently available in mainland China, the region’s largest business software market.

Geoprise also determined that only 4 of the 34 Asia Pacific countries it evaluated have personal data protection laws that conceivably meet European Union (EU) rules allowing data to be transferred out of the EU, a situation which constrains global cloud computing service providers from expanding further within the region as they set up local data centers to reduce latency, and connect them to geo-redundant networks in order to maximize uptime. In addition, Geoprise found that almost two-thirds of Asia Pacific countries have no personal data protection rules at all. “Geo-redundancy shouldn’t expose a public cloud’s entire community to noncompliance risks in the EU,” said Nones, “but many Asian customers don’t have to comply, and will avoid services that put them within the EU’s reach.”

The study also found other factors that are inhibiting Asia Pacific businesses from considering cloud computing services as well. Software piracy and widespread use of free, open-source software make it “much harder to build a business case for switching to pay-per-use cloud computing services when prospective buyers never paid for the on-premise software they use today,” said Nones, though he noted that it’s easier for IaaS (Infrastructure-as-a-Service) providers to make their case, because IaaS replaces hardware that isn’t easy to pirate. Geoprise also believes that widespread Internet censorship and data retention mandates within the region make public cloud services slow, unreliable and unappealing to many Asia Pacific business users.

Additional information is available in the report: “Forecast for Asia: Partly Cloudy Computing, Chance of Mainstream Adoption,” which is available on the Geoprise Web site at http://www.geoprise.com.

About Geoprise

Geoprise Technologies Corporation was formed in 1999 by a group of software executives with over a century of previous cumulative experience building enterprise resources planning (ERP) and manufacturing operations management systems, and implementing them worldwide. The company’s mission, then and now, is to create exceptional value for its customers by harnessing the power and economy of information technology to enable lean, world-class industrial operations on a global scale. Today, Geoprise Technologies focuses exclusively on delivering top-quality expertise and technology solutions for businesses operating in Asia and the Pacific Rim, Europe and North America. We concentrate our expertise in two practice areas, strategy and operations and information technology, serving primarily the life sciences, energy and financial services sectors. Geoprise values integrity by maintaining strict independence from other professional firms and technology providers, intense commitment to business ethics and profound respect for intellectual property rights. The company’s headquarters are in Minneapolis, Minnesota USA and its Asia-Pacific headquarters are located in Bangkok, Thailand. For further information, visit the company’s website at http://www.geoprise.com.

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