Cloud computing in Thailand readiness survey

Key Findings

on

“Cloud Computing in Thailand Readiness Survey 2014”

Survey by:

Research Team

IMC Institute

October 2014

IMC Institute Survey Result “Cloud Computing in Thailand Readiness Survey 2014”

Overview

IMC Institute recognizes that Cloud Computing is now evolving in Thailand, with

companies and organizations of all shapes and sizes adapting to this new technology. It

has emerged as an important solution offering enterprises a potentially cost effective model

to ease their computing needs and accomplish business objectives. Therefore, IMC has

conducted on “Cloud Computing in Thailand Readiness Survey 2014” to explore the adoption

on Cloud Computing in Thailand, in order to be a benchmarking findings with other countries

in the region. The survey has been conducted on both government agencies and private

organizations, comprises with both large enterprises and SMEs. The key findings from this

survey is expected to be guidance and information for any organization in Thailand, either

government or private sector, to prepare their organization and manpower handling the

Cloud Computing technology in the near future.

Survey Results

1.Overview on Survey method and Sample Size

IMC Institute has conducted online and interview survey on “Cloud Computing in Thailand

Readiness” from May 15th to September 18th , 2014. It surveyed 177 C-level executives, IT &

non-IT executives, IT officers in government and private sector in Thailand. The survey result

showed that from total respondents 116 (66%) are in SMEs and 61 (34%) are large

enterprises, as shown in Figure 1.1


Figure 1.1 : Survey Sample Size by Size of Organizations

Top five industry that response to the survey are, IT industry (26%), Finance and

Banking (12%), Manufacturing (10%), Government (9%), and Education (8%) respectively,

as shown in Figure 1.2

Figure 1.2 : Sample size by Industry/Type of Business


We also found that 39% of the total respondents have less than 20 IT staffs in their

organizations, 33% have IT personnel between 21-100, and 28% have more than 100 IT

staffs in their organizations, the findings shown in Figure 1.3

Figure 1.3 : Sample size by number of IT staffs


2. Key findings on IT usage in organization and Cloud Computing in Thailand

IMC research team also surveyed on IT infrastructure and IT usage in the

organizations responded to the survey, by exploring the possession of servers, server types,

adoption plan on both Private and Public Cloud Computing, reason on Cloud adoption,

including perceptions on Cloud Computing benefits and barriers.

The survey key findings are divided into three part: IT usage and Private Cloud

adoption, Public Cloud adoption plan, and also the opportunities and barriers of Cloud

Computing adoption in Thailand.

2.1 Key findings on IT usage of organization in Thailand and Private Cloud

Adoption Plan

The survey result shows that 167 respondents or 94% own their servers, out of which

61 organizations (36.53%) own between 6-20 servers, 38 organizations (22.75%) own

between 21-100 servers, 35 organizations (20.96%) own less than 5 servers, and 33

organizations (19.76%) own more than 100 severs. In terms of Operating Systems of

Servers that are active in the organization, iit was found that the top 5 OSs are Window

Servers, Linux Servers, IBM AIX, Solaris OS, and HP UX , respectively, as shown in Figure 2.1

and Figure 2.2


Figures 2.1 : Sample Size with Servers Owned and Number of Servers owned

Figure 2.2 : Operation Systems for Servers in the Respondents' orgaizations


When asked about a plan on Private Cloud adoption, 41% of total respondents has no

plan to adopt Private Cloud in the near future, 27% has plan to adopt, and 26% has already

adopted Private Cloud in their organizations. Comparing the plan on Private Cloud adoption

between SMEs and large enterprises perspective, the result showed that large enterprises

have already adopted Private Cloud more than SMEs. However, one interesting point is that

more SMEs has plan to adopt Private Cloud than large enterprises in the future, as shown in

Figure 2.3

Figure 2.3 : Private Cloud Adoption: Plan


Considered only respondents who already adopted and has plan to adopt Private

Cloud, the survey result shows that VMWare is the Private Cloud solutions that is most

adopted and also most favourite solution planned to adopt among the respondents followed

by Microsoft System Center. Even though the adoption of OpenStack is currently at low rate

but it is considered the most solution planned to adopt besides from VMWare. Other Private

Cloud solution that has been adopted and plan to adopt are SAP ARIBA, Google Vault, BMC

CLM, and SoftLayer, as shown in Figure 2.4

Figure 2.4 : Private Cloud Adoption: Solutions Consideration


2.2 Key findings on Public Cloud Adoption in Thailand

Organizations in Thailand are considering for Public Cloud adoption, as the result shows

that 81 respondents (45.76%) said they will or already adopt Public Cloud. IaaS is the first

priority of Cloud Services Model the respondent are interested to adopt, where PaaS is the

last one. Among from those 81 respondents who said they will adopt Public Cloud, 66.67%

said they will adopt IaaS, 60.69% will adopt SaaS, while only 39.51% will adopt PaaS. SMEs

tend to adopt Public Cloud than large enterprises. 51% of SMEs said they will adopt Public

Cloud compare to only 36% of Large Enterprises. It is also a surprising result that IaaS is

the most desirable (72.88%) Cloud Services Model for SMEs, while SaaS is the most desirable

for large enterprises (68.18%). SMEs and large enterprises also share the common interest

that PaaS is the least desirable Cloud Services Models among all three i.e, IaaS, PaaS, and

SaaS; as details shown in Figure 2.5, 2.6 and 2.7

Figure 2.5: Public Cloud Adoption Plan [Total Respondents]


Figure 2.6: Public Cloud Adoption Plan [SMEs]

Figure 2.7: Public Cloud Adoption Plan [Large Enterprises]


IMC research team also survey the information about the Public Cloud Providers; IaaS,

PaaS, and Saas providers, that survey respondents are considered to use. Detail of findings

are as followed;

IaaS Public Cloud Providers: Currently, there are increasing numbers of IaaS

providers in Thailand, which are True IDC, DataPro, Electronics Government

Agency or EGA (G-Cloud), iNET, and etc. The survey result shows that Microsoft

Azure ranks the first most adopted IaaS providers, where True IDC comes into

the second rank, followed by Amazon Web Services and G-Cloud from EGA at the

same consideration rate in third rank. However, some of respondents also

,currently, adopted other IaaS providers such as Fujitsu, NTI, Digital Ocean, etc.

However, iMicrosoft Azure still in the first rank in terms of the IaaS providers that

respondent plan to adopt in the near future, where True IDC and Aamzon Web

Services are in second place at the same proportion and iNet is in the third rank,

as shown in Figure 2.8

PaaS Public Cloud Providers: Currently, PaaS market in Thailand is dominated

by international providers . The survey result shows that Microsoft Azure, Google

App Engine, and Amazon Web Services are the top three most adopted PaaS

providers, respectively. However, Microsoft and Google App Engine rank the first

at the same proportion on the PaaS providers that repondents plan to adopt in

the near future, where Openshift; an opensource PaaS providers, from Red Hat

rank the second. Amazon Web Services has been considered to adopt at the

third rank. All details shown in Figure 2.9

SaaS Public Cloud Providers: Currently, local SaaS providers are consider the

largest proportion of all Public Cloud Providers in Thailand. According to SIPA,

there are approximately 200 SaaS providers in Thailand1, local and international.

The survey result shows that the top three, currently, most adopted SaaS

providers are Google Apps, Office 365, and Dropbox Enterprise, respectively. On

the other hand, the top three most desirable SaaS provider that respondents

1Software and Software Services Market Outlook 2013, Software Industry Promotion Agency (SIPA)


plan to adopt are Google Apps, Office 365 and Salesforce rank the second at the

same proportion, and Dropbox Enterprise rank the third. Also, there are other

SaaS providers that respondents plan to adopt such as OpenERP, Smartsheet,

and Amazon, etc., as shown in Figure 2.10

In terms of SaaS applications that the respondents are considered to use, E-mail rank

the first with 69.3% of total respondents said “Yes” to E-mail SaaS adoption.

Desktop/Office, Storage, CRM, and ERP applications are ranked from 2nd to 5th, where

53.06%, 46.94%, 30.61%, and 24.49% of respondents would like to adopt,

respectively as shown in Figure 2.11

Figure 2.8: IaaS Public Providers: Respondents are considered to use


Figure 2.9: PaaS Public Providers: Respondents are considered to use

Figure 2.10: SaaS Public Providers: Respondents are considered to use


Figure 2.11: SaaS Applications on Public Cloud: Respondents are considered to use


2.3 Key findings on Satisfaction, Barriers and Success Factors of Cloud Service

Adoption in Thailand

Currently, from the survey result, Thai organizations are satisfied with Public Cloud

Services. The average level of satisfaction is 3.72 where 53.73% of total respondent are

satisfied with the services, 22.39% is moderate, 19.90% is very satisfied, and only 3.98% is

dissatisfied with Public Cloud Services as shown in Figure 2.12

Figure 2.12: Level of Satisfaction on Current Public Cloud Computing

The key findings of the “Cloud Computing in Thailand Readiness Survey 2014” are to

discover the reason behind Public Cloud adoption in Thailand. Over 177 respondents, 72.84%

said technical issues such as data center bandwidth is one of the most important reason for

their adoption on Public Cloud. Providers SLA, Flexible service to size of business, and price

are equally consider at 65.43% of total respondents, where local representative is considered

the least important factor on their adoption. This is to suggest that to win Thailand market,

Public Cloud Providers should keen on their technical and provide customer with the excellent

technical services, also the price of services have to be fair and flexible to business size,

detail shown in Figure 2.13


Figure 2.13: Reasons to consider Public Cloud Adoption

There are several reasons behind the high level of satisfaction on Public Cloud

Adoption in Thailand. According to survey result, respondents think by adopting Public Cloud

Computing, they can save cost, run their business function anytime and anywhere, use only

what they want, fast time to market, and they can rely on external IT expertise and trusted

network. As shown in Figure 2.16, 71.75% of respondents said Public Cloud Computing can

reduce their cost, where 62.71% and 62.15% think of business continuity and scalability,

respectively. Trusted and System Stability is also considered to be benefits of Public Cloud

Computing by 53.67% of respondents; where 50.28% said by using Public Cloud they can

rely on external IT expertise, this is especially for SMEs who doesn’t have an in-house Cloud

Computing expertise, shown in Figure 2.14


Figure 2.14: Perception: Benefits of Public Cloud Computing

Though, most of respondents are happy and think that Public Cloud Services can be

beneficial to them, there are some barriers that Cloud Providers might have to consider and

try to convince the customers in order to spur the growth rate of Cloud Public Services.

According to the survey top three barriers to Public Cloud adoption are security risk issues,

lack of in-house Cloud expertise, and non-supportive regulations on Cloud implementation,

as shown in Figure 2.15.

Other barriers that respondents have mentioned in the survey are:

● High quality international providers i.e Windows Azure, Amazon, Google, could

not issue the receipt for the tax deduction purpose in the country

● Cloud implement cost is higher than expectation

● Price of Cloud Computing services is high and still not attractive


● Inadequacy internet speed in the country

Figure 2.15: Perception: Barriers of Public Cloud Computing Adoption

Summary

The key findings in “Cloud Computing in Thailand Readiness Survey 2014” reflects that

organizations in Thailand are increasingly alert and prepare to adopt Cloud Computing. More

than half of respondents has already adopted or plan to adopt Private Cloud and many

organizations are expressing their interests in Public Cloud adoption, especially the adoption

of IaaS and SaaS. The survey result also hows that; currently, Thailand's Public Cloud

Computing market has been dominated by international providers and in terms of SaaS

usage, most organizations focus on the use of E-mail, Desktop/Office, and Storage services.

Also, most of organizations are aware of benefits on Cloud Computing adoption in terms of

cost reduction, business continuity, scalability, and stability. However, majority still concern

about security issues, the lack of in-house Cloud experts/HR, and non-supportive regulations

form both governmental and organizational level.


Technology

Cloud computing in Thailand readiness survey