Are savings of 40-50% really possible when switching to cloud computing, as a new business study claims?
This morning I read about the results of a new business survey of 11 large business (Dell, Boeing and Citigroup, among others) that quantified the savings before and after switching from having a dedicated IT system to a cloud computing model, based on budgets for infrastructure, platform and software. The study reported savings of up to 40-50% when the change was to an internal private cloud. As an added benefit, assuming an adoption rate that shifts 70% of IT spending to cloud computing in 2020, a 50% reduction in greenhouse gasses was forecast, with annual savings of $12 billion in energy cost.
The research was conducted by the Carbon Disclosure Project and paid for by AT&T, and I wouldn't exactly call them disinterested parties. Does actual experience supports the kind of numbers that the survey is claiming or are the survey and projections wildly optimistic?
Oh, I almost forgot, here is the link to the survey: