Investment in cloud computing continues

Businesses which specialise in managed hosting services are continuing to invest in cloud computing technologies, it has been claimed.

According to Computer Express, while the initial hype surrounding the technology has died down, dedicated hosting firms are attempting to differentiate the various services they offer to customers by demonstrating the positive effects cloud computing can have on businesses.

Ovum principal analyst John Madden said: "Although cloud-based services hold great promise for customers and the vendors that offer them, for the vast majority of enterprise customers there is still far too much hype surrounding what constitutes a cloud, the kind of services that can be delivered and how those will ultimately evolve."

He claimed that cloud computing had the potential to attract a large number of customers on the merit of its cost-saving capabilities.

According to IT industry expert Srikant Chakrapani, the economic downturn has made businesses consider the benefits of managed hosting services.