Cloud Computing: Floating High in the Latin American Market

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As the entrepreneurial ecosystem in Latin America improves, the demand for cloud computing and similarly positioned digital technologies is on the rise.

There is some good news for the movers-and-shakers in the cloud computing market. As the entrepreneurial ecosystem in Latin America has improved in recent times, demand for cloud computing and related services is on the rise. In fact, our latest market research report predicts a double digit CAGR for the cloud computing market in Latin America.

Cloud technology is much more than just a storage solution. With infrastructure as a service (IaaS) gaining popularity, businesses have opened up to the idea of adopting cloud computing as a full-fledged resource. 

Here are 3 ways in which the cloud can improve work processes:

1. Cost-effective

Rather than investing in costly in-house IT support or hardware systems, entrepreneurs need only take care of just the internet connection. According to our industry experts, cloud computing has the potential to save 80% of the IT budget and 90% of energy bills for organizations regardless of their size.

2. Better collaboration between teams

Lack of proper collaboration has been a major reason for several businesses to fail commercially. Cloud-based tools like online video-conferencing, shared calendars, and editing of shared files facilitate better collaboration between different teams. Also, as many cloud computing solutions are now available for various platforms like Windows, iOS, and Android, it is easier for businesses to switch to these scalable project management tools.

3. More flexibility and faster decision-making

With data being stored and sourced from the cloud, it is easier for businesses to function even outside their official premises. This kind of flexibility is a major boon in today’s competitive environment. Also, close to 65% of businesses have experienced more prompt decision-making due to the real-time data provided by cloud software.

Is Latin America the new hub for the cloud computing market?

As telecommunication companies make inroads into Latino countries, the adoption rate of cloud computing solutions has spiked significantly. Amazon, Google, and IBM have already launched their products and are gaining good traction in Brazil, Chile, and Mexico.

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A crucial development in the Latin American market is the growing momentum of cloud brokerage services. Based on this, vendors are now targeting brokerage service providers instead of business houses. There will be a time when companies will be connected directly to providers of cloud solutions, as of now however, the brokerage providers are playing an important role in Latin America.

Another interesting development in Latin America is the steady development of the SMEs. As small and medium-sized businesses prosper, the demand for seamless solutions like cloud technology is sure to increase. The Brazilian cloud market is already growing proactively. This is primarily because businesses are looking for a competitive edge and ways to ensure the most efficient cost-management and data processing.

All these developments prove that the Latin American market has immense potential for the adoption of cloud computing solutions. It will be interesting to observe how leading vendors will design their marketing and sales strategies to make the most of this evolving opportunity.

Isabella Rousseff, is a Market Support Manager, Clarity 360 Americas, based in São Paulo

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