The promise of \u201cthe cloud\u201d is that cloud storage delivers users seamless \u201cjust in time\u201d storage scalability to handle growth and quickly respond to peak loads. The economics and business impact of cloud storage also delivers a compelling financial proposition in today\u2019s budget constrained IT environments. To the IT consumer shifting what was a capital expense and a fixed cost to a variable cost operating expense is financially compelling. Additionally, the ability to function in a \u201cjust in time\u201d mode versus a \u201cpredictive\u201d model for consumable storage also changes the CAPEX impact further assisting in justifying an already strong value proposition for adopting cloud storage.
\nIDC forecasts that cloud-based storage will represent a $15.6B market by 2015 with a compound annual growth rate (CAGR) of 32%. They also predict 10,000 service providers will focus on cloud storage with a data protection emphasis. The economics of this market transition will continue to evolve and accelerate as costs of delivering cloud services are optimized by service providers that become more efficient \u2013 ever mindful of the cost of their plant\/facility, operating expenses and business margins. <\/p>\n