Legislation NewsPart 4 News: General Business Environment

Reforms, investments needed as ‘cloud’use, attacks climb

Reforms, investments needed as ‘cloud’use, attacks climb

by Lorenz S. Marasigan | 

CRITICAL policy reforms—foremost of which is the creation of the Department of Information and Communication Technology (DICT)—and ample IT infrastructure investments have become more pressing for the Philippines, with the demand for hybrid cloud solutions rising alongside the incidence of cyberattacks.

IP Converge Data Services Inc. Reynaldo R. Huergas said the government and the private sector must now work hand in hand to make sure the growing need for secure hybrid cloud solutions in the country is met.

The trend is rooted on the perception that the public cloud does not suit needs specific to Asian companies, steering the demand toward  private cloud services. 

The current hybrid model involves storing all mission-critical data in the private cloud, while nonmission critical data are stored into the public counterpart.  

“The Philippines ranks as the 33rd most attacked country in the world. A hybrid cloud, one that also includes a DDoS [distributed denial of service] mitigation system, will best respond to the ICT demands of an Asian enterprise,” Huergas said. Research agency Frost & Sullivan said more than half of Asian enterprises intend to adopt hybrid cloud solutions in 2016, thus, stirring its growth rate by 20 percent from 2014 to 2019. 

This translates to a market value of $25.7 billion to $65.2 billion in 2019, hence, the need for a better business environment. 

Current developments with regard to government support indicate a focus on security and regulation in information and technology.  

Primarily, Executive Order 189, Series of 2015, calls for the creation of the National Cybersecurity Inter-Agency Committee, which complements the Data Privacy Act of 2012. 

The committee is tasked to assess the country’s cybersecurity strengths and vulnerabilities, and to enhance public-private partnerships in the field of information sharing involving cyberattacks and threats.

“This development will help data-sensitive organizations and enterprises that offer cybersecurity services, such as DDoS mitigation. For our part, it will help us get a clearer picture of how cybercrime operates in the Philippines and allow us to provide better service,” Huergas said. 

Key industry members, including the business-process outsourcing sector, are pushing for the DICT, which is now set for congressional bicameral conference committee debate.  Also existing is a proposal to create an office in the Department of Trade and Industry that will regulate e-commerce. 

Huergas expects these trends to leverage on current developments, particularly the steady development of broadband service in the country. Huergas noted how local telecom players have invested in upgrading the speed and reliability of their services.  

“The trend of improvements in mobile and fixed broadband in the country spells good news to household and enterprise consumers. In the long run, companies will offer more services online or adopt cloud services, capitalizing the new IT environment,” he said. 

The executive also predicted that 2016 will see a more dynamic IT business sector in the Philippines. “IT businesses in the country are beginning to introduce great ideas, cloud-based or otherwise, to the market. This points to an industry that has the right values that will allow it to survive in a very competitive arena,” Huergas said.

With today’s boom in personal and enterprise mobility, application development is at an all-time high.  The Philippine Software Industry Association recently noted that software export sales has been growing at 31 percent over the years. 

This increase represents tremendous opportunity to drive demand for application server infrastructure, as well. 

Earlier this year, IPC launched the Enterprise Sachet model as part of its thrust to enable start-ups and small and medium enterprises to manage the cost of IT resources, given the growing adoption of IT to automate and streamline business operations. 

It is a pay-as-you-go model that allows companies to make use of business productivity tools and compute resources on-demand and pay only for what is required at any given point in time, via online payment. 

Source: www.businessmirror.com.ph

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