How cloud is competing head-to-head with outsourcing more, and other developments to keep an eye on.
Cloud vs. traditional outsourcing
While migrating your IT infrastructure to a cloud service is not "outsourcing" in the traditional sense, it is a form of outsourcing. But even traditional outsourcing models are using cloud technology underneath, whether the outsourcer is using Amazon or IBM is using its own cloud.
[Doing most IT work in-house and outside the cloud isn’t a winning strategy. Read IT Control Is An Illusion]
Both public and private clouds are getting more traction this year among Fortune 500 companies and could threaten the traditional outsourcing model, says David Rutchik, a partner at IT consulting firm Pace Harmon.