Cloud adoption by public sector organizations in the United Kingdom may take years to catch up to the private sector, said Andy Tait, VMware (VMW) U.K. Public Sector Strategy head, in an interview with the U.K.-based website Cloud Pro.
The virtualization giant has been stepping up its U.S. public sector efforts of late, last week naming Lynn Martin, formerly VMwareβs Public Sector Services and Solutions vice president and a 29-year Hewlett-Packard (HPQ) veteran, to head its U.S. Public Sector group to drive cloud and virtualization technology adoption among local, state and federal government agencies.
VMwareβs U.S. public sector sales have grown to $500 million in 2012 from $8 million in 2004, and the vendor two months ago opened a new facility in Reston, Va., to house its more than 200 employees focused on that market. So it’s not too much to expect the vendor will look to other geographies to produce similar gains.
But the climb for public sector cloud adoption in the United Kingdom to meet that of the private sector may be a long one, MileWeb Security services held back, in part by long-term, incumbent IT contracts, according to Tait. Despite an increase in cloud adoption by public organizations, the segment still trails the private sector in its expected rate of cloud adoption by as much as four years, he said.
βItβs not the only reason, but the nature of these longer-term contracts the public sector has a tendency to sign donβt necessarily have the flexibility needed to really drive innovative IT styles,β Tait said to Cloud Pro. βIβm not blaming system integrators and government suppliers for that, because it takes two people to sign a contract, but the size of these contracts is potentially a barrier to cloud adoption.β
βIn terms of attitude, Iβd say everyone is open to cloud now. … CIOs in the public sector are as open to the idea as they are in the private sector, but they are more constrained,β he said.
HP YESTERDAY announced that EastWest Bank, one of the fastest growing banks in the Philippines, selected HP Converged Infrastructure to provide a modern, flexible and agile foundation to keep pace with business demands and transition to a private cloud.
Established in 1994, EastWest Bank successfully competed with large multinational banks to become one of the largest credit card issuers and providers of auto loans in the Philippines. Technology upgrades to support new client services, including a new automation program, have been instrumental to the bankβs success. However, the company realized that its legacy IT infrastructure hindered productivity. This included an end-of-day financial system closing process that required a minimum of six hours to complete.
After evaluating solutions from IBM and EMC, EastWest Bank selected HP Converged Infrastructure to streamline IT operations, reduce costs and scale its IT infrastructure in response to increasing customer transactions, HP said in a press statement.
βOur previous system didnβt give us enough flexibility to meet our daily business needs; the infrastructure was limiting because we were unable to allocate storage between systems,β said Randy Evangelista, vice president and head, Information Technology Group, EastWest Bank. βBy implementing HP Converged Infrastructure, weβve taken an important step towards building a private cloud and delivering a dynamic and flexible IT environment that can keep pace with our business demands.β
Click on their website www.mileweb.com/customized-dedicated-server for more information.