Cloud an outsourcing option in troubled times

Cloud an outsourcing option in troubled times

The cloud emerges as a serious contender for companies interested in IT outsourcing.
About a year and a half ago, no one was talking about cloud computing as part of IT outsourcing (ITO) deals. But now, in today’s climate of deferring capital expenditures and finding short-term savings, most everyone has their head at least partially in the clouds. That is, most companies that are considering ITO are also considering whether cloud computing is right for them.
And with good reason. As Tier 1 service providers like CSC, HP and IBM invest billions in their clouds, they’re increasingly offering cloud computing as part of their services – which stands to change the landscape of IT outsourcing. Many deals will become less complex, less dependent on labor arbitrage in offshore markets, and more easily implemented.
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