SMBs to get network centric in 2008: IDC

NORTH SYDNEY, AUSTRALIA: Research firm IDC finds that beyond 2008 Australian small and medium businesses (SMBs) will undergo a deep transformation. Driving this will be the supply side services and telecommunications providers that are finally starting to design products targeted to SMBs.

The findings arise as IDC announces its top 10 predictions for 2008 in the Australian SMB market. "A lack of adequate offerings, especially on the services side of ICT markets has restrained SMBs from embracing technology," says Jean-Marc Annonier, research manager for Small and Medium Business Markets at IDC Australia.

"This situation is on the verge of changing with the evolution of tier two service providers that understand the needs of SMBs a lot better. Complimenting this is an increase in the availability of fast broadband Internet connections enabling a range of services to be delivered remotely with quite satisfactory levels of performance," adds Annonier.

IDC's study presents the top 10 predictions for Australian SMBs for 2008. These are drawn from primary and secondary research conducted throughout 2007, including all areas of hardware, software, services and telecommunications as well as an IDC insight into Australian vendors' SMB strategies.

IDC's Australian Small and Medium Business 2008 Top 10 Predictions:

1. Core IT functions will be increasingly hosted by service providers

2. Managed services providers will offer adequate IT outsourcing services

3. Consolidation and virtualisation will simplify the server room, which will tend to host relatively basic storage and remote access services

4. Voice communications will be IP-based, increasingly driven by software towards an ubiquitous Unified Communications model. The traditional PBX is doomed

5. Software as a Service will become mainstream and will concern an increasing number of applications

6. The traditional office environment will not change significantly, but will continue its trends towards greater mobility and convenience

7. Telecommuters and the mobile workforce will benefit dramatically from progress in fixed and wireless broadband speed

8. Infrastructure in branch offices will be reduced to a minimum as server-based computing will become the platform of choice for branches

9. Business between third parties will be conducted predominately by electronic transactions

10. Change will be driven by the availability of faster broadband Internet connections which will see SMBs become increasingly network centric.