Document Type

Article

Abstract

Cloud computing enables customers to rent IT when needed. From technology's point of view, the advent of cloud computing finally makes the long-held idea of computing as a utility to be realized. However, from business’ perspective, the acceptance of cloud computing depends not only on the technology availability, but more on the business readiness. A systematic approach to evaluate the business value of adopting cloud services for potential users is needed. Following Diffusion of innovation theory, and by interviewing five companies, we identified three important factors and one moderating variable that may influence firms' intention of adopting cloud services. We then collected data from 200 firms to examine the validity of the proposed model. Our findings indicate that perceived benefits and business concerns are the primary two factors when a firm evaluates its cloud adoption. Nevertheless, environment pressure from trading partners becomes the main driver to their final adoption.

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