Verizon: Big Corporations Still Moving to the Public Cloud

Verizon recently released a study that found that NSA surveillance concerns have not decreased the adoption of public cloud services by large corporations. Companies have been increasing their amount of data stored in the cloud. Public clouds remain attractive as they allow companies to decrease or increase the scale of resources, and to share the cost of ownership among users. But some big companies are looking to vendors outside the U.S. to avoid the NSA.

The study reports that within the past 18 months, large companies have almost doubled the amount of data that they store in the public cloud, explains The Wall Street Journal. Although there are some customers that have concerns that using U.S.-based cloud companies will leave them vulnerable to NSA surveillance.

Yet, these concerns are not decreasing the cloud service adoption rate by large corporations, according to John Considine, current CTO of Verizon Enterprise, formerly of Sun Microsystems and co-founder of Cloudswitch.

The average virtual machine used for cloud computing that customers lease from Verizon Enterprise has increased 100 percent in size in the past 18 months before the study came out, according to Verizon. The amount of data that is located on the typical virtual machine rose 90 percent, the study showed.

The rise in the adoption of the public cloud among big corporations reflects many issues, including the fact that large companies are becoming more comfortable with using technology that is not within their own data centers, notes Considine.

Despite the Edward Snowden-NSA disclosure, public cloud adoption among corporations has not dropped. “But would the increase have been bigger without the NSA?” Considine questioned. “I can’t say.”

Recent studies have reported that some companies, especially those outside the U.S., are considering changing some spending to cloud services to non-U.S.-based vendors. As with the case in Germany, customers are heading to a new email service called Email Made in Germany in order to avoid NSA monitoring.

Although customers are cautious regarding government surveillance, Considine said that the risk the companies must deal with from hackers was much greater.