The big trend involving the transition from an on-premise solution to one in the cloud continues to grow. Computer Economics’ highlighted in a benchmark study in their annual report on staffing, and spending for 2017/2018 that this growing trend will continue to rise. Furthermore, the study found that the IT budgets at most organizations are steadily increasing.
But while IT budgets are increasing, they are not going toward hardware or more staff. In fact, the budget toward capital spending was at 24 percent of spending in 2013, but dropped to 18 percent in 2017. This is common with organizations that move to cloud-based services because they no longer require new hardware or significant upgrades to existing hardware – the cloud provider has almost all the hardware that is needed.
As for staffing, cloud-based services also reduce any needs in that department. The study by Computer Economics found that less than 50 percent of organizations have additional staffing plans for 2017. This is significant because the economy is doing well right now, which would generally offer resources for extra staffing. However, with cloud-based services, IT departments require fewer staff members.
So, if organizations are cutting costs in hardware and staffing, where are they increasing their budget? The answer lies in business applications, security, networking and end-user devices. Money that might have normally been put into an on-premise data center — which is now being offloaded to an off-premise provider — can now be used to strengthen other areas.
When it comes to cloud-based communication tools, you can find many advantages with the right provider. Advantages include comprehensive solutions in an IP Internet platform, continuous wireless connectivity and backup, and managed IT solutions, such as end-to-end management of a combined voice and data network.
Cloud-based communication technology also offers excellent colocation redundancy and reliability with hundreds of domestic and international data centers. The best communications providers will help you keep pace with new technology, improve bandwidth speeds and business connectivity, and boost productivity.
At Copper State Communications, we’re bringing many organizations into a cloud-based services existence. We know business Internet and voice technologies are central to the success of our clients, and we’re offering them in a way that is truly benefiting them – in the cloud, where they’re saving money yet improving their services. For more than 35 years, we’ve been the go-to company for IT services and telecom in Arizona, so contact us today and let’s talk about how we can improve your services.