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High-level Government group established to target 8,600 job cloud computing potential – Bruton

Government bodies must take lead if sector is to achieve ambitious targets and create jobs – Minister Bruton

Minister for Jobs, Enterprise and Innovation Richard Bruton T.D. has written to Government colleagues to establish a cross-Government implementation group on cloud computing, he announced in a keynote speech to a cloud computing conference organised by Public Affairs Ireland in Dublin this morning. The sole focus of the group will be to support the implementation of the ambitious Programme for Government commitment on cloud computing.

In his speech, Minister Bruton said:

“Ireland is extremely well-placed to take advantage of the rapidly-growing

international potential of cloud computing. A recent report commissioned by

Microsoft has estimated that by 2014 the cloud computing industry in

Ireland could be worth €9.5billion and employ 8,600 people. Now more than

ever we must do everything we can to seize opportunities like this.

“These jobs will not be created automatically, and government must act

decisively and urgently if we are to position Ireland as a world leader in

this high-growth sector. In May I announced the establishment of a

€5million applied research centre in cloud computing, which will bring

industry and researchers in this sector together in order to turn good

ideas into good jobs.

“However it is also crucial that Government, as a major user of IT in the

economy, take a lead in this area in order to provide opportunities and

economies of scale for growing businesses in this sector, and the Programme

for Government contains a commitment to implement an ambitious series of

policies to achieve this.

“That is why I have written to Government colleagues proposing the

establishment of a cross-Government implementation group to support the

implementation of the Programme for Government commitment. It is proposed

that this group will include representatives of all Departments and

agencies responsible for all aspects of cloud computing policy:

expenditure, IT procurement, security, infrastructure and industrial

strategy. Other people will be invited to participate as appropriate, and a

parallel consultation process will take place with industry representatives

to ensure that their views are fully taken on board at all times.

“Government does not create jobs: growing businesses do, but Government has

a key role in creating the environment where those businesses can grow and

create the jobs that are so badly needed in our society. We must not forget

however that Government is also a significant economic actor in its own

right, and it is crucial that the public sector takes a lead in reducing

costs, improving access to finance and encouraging innovation, particularly

in the sectors which we have earmarked for growth and job-creation in the

future. With ambitious policies and determined action from Government we

can get jobs and growth back in the economy again.”

NOTE TO EDITORS

The proposed Implementation Group will include representatives of relevant

Departments as well as the Data Protection Commissioner, the IDA and

Enterprise Ireland.

The first meeting is proposed for later this month.

A parallel consultation process with industry will be conducted through ICT

Ireland, with a first meeting also later this month.

The relevant commitment in the Programme for Government is as follows:

“We will make Ireland a leader in the emerging I.T. market of cloud

computing by

promoting greater use of cloud computing in the public sector, organising

existing

State supports for cloud computing into a package to promote Ireland as a

progressive place for I.T. investment, establishing an expert group to

address new security and privacy issues arising from the use of cloud

computing and reviewing the adequacy of current legislation and identify

what steps need to be taken to ensure a supportive regulatory environment”.

The key findings and recommendations of the Microsoft report are as

follows:

“Cloud computing is a major evolving industry that will revolutionise how

businesses and public sector organisations run their operations and deliver

products and services. It will be a catalyst for significant changes in the

national and global economy. If Ireland acts now, Cloud Computing will

deliver much needed competitiveness and jobs for the Irish economy.

Cloud computing sales by Irish firms could reach €9.5bn per annum by 2014

and provide jobs for 8,600 people as current Information Technology

activities migrate to the Cloud. New services and markets will also emerge

as a result of the Cloud, creating additional opportunities for Irish

firms.

Early adoption of Cloud Computing by Irish users will take €0.5bn per annum

of costs out of Irish organisations.

Cloud Computing makes Information Technology a low operating cost rather

than an expensive capital investment. This will help small firms in all

parts of the economy to grow, and could lead to the formation of 2,000 new

small and medium enterprises outside the Information Technology sector.

Cloud Computing will lower the costs of delivery while also improving the

quality of public services in Ireland.

Cloud computing has the potential to transform how children and students

are educated in Ireland”.

“Ireland is an ideal base for the location of firms engaged in Cloud

Computing activities. In order to capture a large share of the emerging

world market (Analysts’ estimates of the size of this market by 2014 range

from €40bn to €110bn) in this area and to capitalise on our assets, it is

critical that we move fast to create a global reputation in the area of

Cloud. Key actions to ensure that this potential is realised are:

· Organising existing publicly funded and Government Agency supports

into a Cloud Cluster Programme;

· Closing the gaps in awareness of Cloud Computing within the public

and private sector;

· Labour force development to close the skill gaps required in support

the growth of a Cloud based industry;

· Implementing a high profile public sector Cloud based project to

demonstrate leadership both in Ireland and internationally;

· Rolling out a series of initiatives to promote the use of Cloud

Computing by small businesses and start ups in Ireland;

· Ensuring the continued investment in broadband and international

Internet connectivity to ensure sufficient capacity exists to support

the growth of the Cloud industry”.