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Reasons Why Cloud Technology Is Booming In South Africa

David Martin

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Africa has not been left behind in the shift to cloud computing technology that has taken the world by storm. The country of South Africa has made itself the de facto capital of cloud systems on the African continent. The immense and almost exponential growth that this market has surprised many. There are some very legitimate reasons as to why there seems to be an unstoppable growth of cloud technology in this country. Here are some of the most prominent reasons that have fueled the current growth and will continue to do so in the foreseeable future.

Enabling environment

The government of this country has been looking for ways to take its economy to a truly global level. Their economy has, for a long time, been reliant on technology to act as its cornerstone and main pillar. The problem with this is that mineral resources cannot last forever. They have seen cloud technology as an easy way to get in on the global information technology market. This is why they have made it extremely easy to set up and run IT related companies in their country. Any cloud computing company that is interested in setting up operations in this country is welcome to do so and provided with facilitation to ease the process along.

Presence of multinationals in the country

This country has played host to the operations of many multinational companies, some of which are even computing giants. For example, a certain well known internet search provider is even considering setting up the first African mega data center in this country. This has a particularly direct impact on the use of cloud computing. These multinationals have operations in other continents especially Europe and North America where cloud computing has been used a lot. This enables them to have the right confidence that cloud technology can boost their operations. Companies that have been able to implement cloud computing successfully elsewhere are likelier to use it in South Africa, which means that they boost the uptake rate.

Managed solutions

Most companies that do not have operations that are information technology related find themselves forced to operate in an unfamiliar field. Computing is prevalent to the point of being an unwritten rule. This means that these companies are forced to implement computing solutions and bring in a large contingent of support IT staff to run these solutions. This causes an increase in the overhead expenditure. Private cloud management creates a solution that companies can use while relegating management to their third party service provider. This reduces the cost of running legacy systems and the need for a large IT related department. Companies are using cloud management services to handle all of their information technology related needs while keeping costs low.

Cost effective solutions

One of the most notable benefits that a cloud computing company brings into operations is cost effectiveness. Every company is forced to find its own balance between performance levels and cost of these systems. Until the cloud computing came along, there was not much that companies could do to reduce the cost of their information technology infrastructure. Cloud computing services such as private cloud management have made it possible for companies to handle their IT needs while keeping cost low. This is achieved without having to sacrifice service delivery to the complications of cost. This is why many companies in South Africa are investing in integrating cloud based solutions into their operations.

South Africa has placed itself at the forefront of cloud computing revolution, and the benefits that these solutions bring are being felt on the economy in a very positive manner.


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