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Private clouds set to dominate horizon for next couple of years

Simon Quicke

It will come as little surprise to those resellers on the front line selling hosted services but more money is going to be spent on private rather than public clouds over the next couple of years.

According to Gartner firms are going to spend more on private clouds than investing in the public offerings that are starting to float around the market despite the apparent economies of scale the larger brands could provide.

At the MicroScope Channel Summit earlier this autumn resellers promoting the cloud made the comments that a public cloud, which lacked standards, was not as attractive or as easy to make compliant as private clouds which effectively extended the intranet.

Tom Bittman, vice president and distinguished analyst at Gartner, said that larger companies had internal IT resources that would deploy cloud services internally as the first step towards moving towards public offerings.

"Many of the investments in private cloud computing will prepare the enterprise for public cloud computing. These investments are not just technology changes - they are also process, cultural and business interface changes," he said.

That focus on private clouds is set to remain through to 2012 according to Gartner as the large companies deploy internally first however at the SME end of the market there is a clear role for resellers.

The analyst house expects smaller customers that are unable to lean on internal resources to turn to what it describes as "service brokers" to take responsibility for ensuring the cloud services hit SLAs.

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