Those business leaders who have not jumped on the cloud bandwagon yet have assumed they will be able to continue with their current IT consumption practices. They also assume their costs will not be impacted by the cloud’s success. However, remaining on unsupported software will increase IT costs. Finding the right resources to support and develop on legacy systems is not cheap or easy.
The cloud’s tipping point may not be an issue for IT leaders – unless they want the benefits their competitors are deriving from SaaS applications. So, whether IT leaders consider the cloud now, or later, at some point, for many software vendors, the economics of developing, shipping, supporting, maintaining, patching, and releasing upgrades to software will change. That is, those software vendors may discontinue their legacy software business model in favor of a SaaS model.
Is this prediction of the cloud’s tipping point Hype or Ripe?