Cloud Computing Financial and Cost Analysis: A Case Study of Saudi Government Agencies

Cloud computing is an innovation in world technology. It is used to provide organization services as a utility service through internet and the innovative uptake of cloud for improved effectiveness and efficiency. There is an absence of academic studies about the financial feasibility and implementation cost government agencies to take up the cloud by government agencies. This paper seeks to identify the cloud computing financial indicators and implementation cost variables which are relevant to public organizations. The proposed model consists of Saudi case study findings based on analysis of evidence from Saudi government organizations. Random samples from different categories of professionals in Saudi Arabia participated in the questionnaire to extract and confirm the financial indicators and implementation cost variables. The results indicate a return on investment (ROI) and total cost ownership (TCO) are the main financial indicators to study cloud adoption. Also, data centre variables and fixed cost parameters play a main role in calculating the cloud implementation cost.

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