CLOUD HOSTING AWARENESS SURVEY

Angel Schneider Rackspace® Hosting 210.312.3752 angel.schneider@rackspace.com

Toll Free: 1.800.961.2888
RACKSPACE HOSTING
®

|

International: 1.210.312.4700
|
| SAN ANTONIO, TX 78229 U.S.A.

|

www.rackspace.com
|
MODIFIED DATE: 01202009

Copyright © 2009 Rackspace Hosting, Inc.
|

All trademarks, service marks, images, products and brands remain the sole property of their respective holders.

9725 DATAPOINT DRIVE

CLOUD HOSTING AWARENESS SURVEY
Key Findings

INTRODUCTION
The purpose of this research was to gain global insight into the perceptions and awareness that small- and medium-sized businesses have about Cloud Hosting. On behalf of Rackspace® Hosting, Vanson Bourne developed this study to better understand how small- and mid-sized companies understand Cloud Hosting, how this new technology can benefit these companies and how they will use Cloud Hosting in the future as part of their hosted IT services.

METHODOLOGY
The methodology for the Rackspace Hosting survey research, which was conducted between mid-October and mid-November of 2008, involved 1,500 US- and UK-based small- and mid-sized companies. Approximately 36 percent of survey recipients responded to the questions.

A FEW RACKSPACE PERSPECTIVES:
Cloud Hosting is a beneficial technology that can be utilized by companies of all sizes and IT budgets; however, current uptake trends position mid-sized businesses as adopting the cloud at a faster pace than small businesses. • Currently, 14 percent of US mid-sized businesses and 11 percent of UK mid-sized businesses are using Cloud Hosting as part of their IT hosting mix, while only five percent of small business respondents have adopted the trend. • Less than one-third of small businesses are even considering Cloud Hosting in the future. • More than half of all mid-sized business respondents have plans to incorporate Cloud Hosting into their current hosting configuration, while, in the small business segment, nearly 60 percent have no plans to use cloud in the future. Cloud Hosting continues to be one of the most cost effective and flexible hosting options available to organizations today, however, a lack of awareness and understanding for small businesses may put them at a huge disadvantage for helping their current bottom line. • Approximately two-thirds of small business respondents are unaware of Cloud Hosting whereas over half of mid-sized respondents are familiar with this technology. • According to the survey, a major reason that small businesses do not use Cloud Hosting is because they perceive it to be cost prohibitive, which is an unfortunate misperception, as Cloud Hosting is a price-competitive option for many hosting needs. • Approximately half of US small businesses and one-third of UK small businesses do not understand the benefits of Cloud Hosting or how it could be used in their organization’s current IT mix.

Toll Free: 1.800.961.2888
RACKSPACE HOSTING
®

|

International: 1.210.312.4700
|
| SAN ANTONIO, TX 78229 U.S.A.

|

www.rackspace.com
|
MODIFIED DATE: 01202009

Copyright © 2009 Rackspace Hosting, Inc.
|

All trademarks, service marks, images, products and brands remain the sole property of their respective holders.

9725 DATAPOINT DRIVE

1a. Are you familiar with the term “Cloud Hosting”?
(Regional Comparison for Small Business Market)

Yes Responses

27% 33%

No
67%

73%

10%

20%

30%

40%

50%

60%

70%

80%

Percentage of Respondents

1b. Are you familiar with the term “Cloud Hosting”?
(Regional Comparison for Mid-Sized Business Market)

Yes Responses
53%

57%

No

43% 47%

10%

20%

30%

40%

50%

60%

70%

80%

Percentage of Respondents

Toll Free: 1.800.961.2888
RACKSPACE HOSTING
®

|

International: 1.210.312.4700
|
| SAN ANTONIO, TX 78229 U.S.A.

|

www.rackspace.com
|
MODIFIED DATE: 01202009

Copyright © 2009 Rackspace Hosting, Inc.
|

All trademarks, service marks, images, products and brands remain the sole property of their respective holders.

9725 DATAPOINT DRIVE

2a. What is your standpoint on adoption of Cloud Hosting?
(Regional Comparison for Small Business Market)

Already using it

5% 5%

Responses

Plan to use or are considering using it

33% 28%

No plans

57% 59% 5% 8% 0% 10% 20% 30% 40% 50% 60%

Don’t know

Percentage of Respondents
U.S. U.K.

2b. What is your standpoint on adoption of Cloud Hosting?
(Regional Comparison for Mid-Sized Business Market)

Already using it

14% 11%

Responses

Plan to use or are considering using it
26%

55% 42%

No plans

42% 4% 5% 0% 10% 20% 30% 40% 50% 60%

Don’t know

Percentage of Respondents
U.S. U.K.

Toll Free: 1.800.961.2888
RACKSPACE HOSTING
®

|

International: 1.210.312.4700
|
| SAN ANTONIO, TX 78229 U.S.A.

|

www.rackspace.com
|
MODIFIED DATE: 01202009

Copyright © 2009 Rackspace Hosting, Inc.
|

All trademarks, service marks, images, products and brands remain the sole property of their respective holders.

9725 DATAPOINT DRIVE

3a. How does/would your organization use Cloud Hosting as part of its IT mix?
(Regional Comparison for Small Business Market)

Data storage/ back-up Extra servers/boost processing/distribute workload/availability Replace centralized computing/ global access Fast new development & testing Host files and databases To benefit highly mobile staff
7% 6%

13% 9%

13% 18%

7% 0% 7% 3% 7% 0%

Responses

Application hosting

3% 6%

Integration/middle

3% 9%

Web hosting

0% 3%

Don’t know
0% 10% 20%

50% 30% 30% 40% 50%

Percentage of Respondents
U.S. U.K.

Toll Free: 1.800.961.2888
RACKSPACE HOSTING
®

|

International: 1.210.312.4700
|
| SAN ANTONIO, TX 78229 U.S.A.

|

www.rackspace.com
|
MODIFIED DATE: 01202009

Copyright © 2009 Rackspace Hosting, Inc.
|

All trademarks, service marks, images, products and brands remain the sole property of their respective holders.

9725 DATAPOINT DRIVE

3b. How does/would your organization use Cloud Hosting as part of its IT mix?
(Regional Comparison for Mid-Sized Business Market)

Replace centralized computing/ global access Data storage/ back-up Extra servers/boost processing/distribute workload/availability Fast new development & testing

20% 6%

15% 12%

14% 14%

9% 0% 8% 8% 7% 6%

Responses

Application hosting

Web hosting

Host files and databases

4% 4%

Integration/middle

0% 1% 0% 0%

To benefit highly mobile staff

Don’t know
0% 10% 20%

29% 26% 30% 40% 50%

Percentage of Respondents
U.S. U.K.

Toll Free: 1.800.961.2888
RACKSPACE HOSTING
®

|

International: 1.210.312.4700
|
| SAN ANTONIO, TX 78229 U.S.A.

|

www.rackspace.com
|
MODIFIED DATE: 01202009

Copyright © 2009 Rackspace Hosting, Inc.
|

All trademarks, service marks, images, products and brands remain the sole property of their respective holders.

9725 DATAPOINT DRIVE

4a. What do you see as the impediments to adopting Cloud Hosting?
(Regional Comparison for Small Business Market)

No need for it/no additional benefit over existing hosting service

28% 34%

Cost

28% 29%

Availability/reliability/ speed

24% 9%

Loss of control/ compatibility It's new untested technology/ don't know enough about it Responses Security/compliance

15% 7% 13% 16% 11% 14%

Don’t know or none

9% 7%

Time required to implement Accountability of SLA/ 2% quality of support 0% Change to organizational culture required/ selling the benefits internally We don't need that service/power
0%

7% 5%

7%

0% 5% 0% 10% 20% 30% 40% 50%

Percentage of Respondents
U.S. U.K.

Toll Free: 1.800.961.2888
RACKSPACE HOSTING
®

|

International: 1.210.312.4700
|
| SAN ANTONIO, TX 78229 U.S.A.

|

www.rackspace.com
|
MODIFIED DATE: 01202009

Copyright © 2009 Rackspace Hosting, Inc.
|

All trademarks, service marks, images, products and brands remain the sole property of their respective holders.

9725 DATAPOINT DRIVE

4b. What do you see as the impediments to adopting Cloud Hosting?
(Regional Comparison for Mid-Sized Business Market)

No need for it/no additional benefit over existing hosting service Cost

31% 18%

22% 18%

Don’t know or none

18% 12%

It's new untested technology/ don't know enough about it Security/compliance Responses

16% 11% 9% 25% 9% 6%

Loss of control/ compatibility

Availability/reliability/ speed Change to organizational culture required/ selling the benefits internally Accountability of SLA/ quality of support
4% 3%

7% 8%

7% 9%

Time required to 0% implement 2%
0% 10% 20% 30% 40% 50%

Percentage of Respondents
U.S. U.K.

Toll Free: 1.800.961.2888
RACKSPACE HOSTING
®

|

International: 1.210.312.4700
|
| SAN ANTONIO, TX 78229 U.S.A.

|

www.rackspace.com
|
MODIFIED DATE: 01202009

Copyright © 2009 Rackspace Hosting, Inc.
|

All trademarks, service marks, images, products and brands remain the sole property of their respective holders.

9725 DATAPOINT DRIVE

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