Current Market Trends
Legal technology of today is a far more complex environment than in years gone by. 10 years ago saw the commercialisation of the internet, perhaps the biggest innovation in IT since the computer itself. Today we are witnessing the second wave of the internet evolution with Cloud and Utility computing (Managed Services), this is an online environment where software applications and hardware platforms are available on a pay-for-what-you-use basis. The cost and service benefits in utilising this form of technology can be enormous. These new wave platforms afford smaller businesses the opportunity to access systems and platforms previously only available to the blue chips, effectively levelling the playing field.
Cloud computing really comes into focus when we think about what successful IT always needs, a way to increase capacity or add capabilities, on the fly, without investing in new infrastructure, training new personnel, or licensing new software. Cloud computing encompasses any subscription-based or pay-per-use service that, in real time over the Internet, extends IT’s existing capabilities.
Cloud computing is at an early stage, with a number of providers large and small delivering a slew of cloud-based services, from full-blown applications to storage services to spam filtering. Today, for the most part, existing IT systems must plug into cloud-based services (managed email for example) individually, but cloud computing aggregators and integrators like Accesspoint are emerging with solid solutions, enabling clients to select services and platforms from multiple cloud vendors.
SaaS (Software as a Service)
This type of cloud computing delivers a single application (e.g. Digital Dictation, or a PMS application) through the web browser. For most this would mean no capital investment in servers or software licensing as licenses come as part of the service model. Looking ahead, let us briefly consider a standard Microsoft platform and the inevitable 'pressured' upgrade to the latest releases as older versions get served with end of life notices (Windows Server 2003 replaced by Server 2008, Office 2003 to Office 2007, Exchange 2003 to 2010 etc.) Under a SaaS model there are potential capital savings to be gained that can save practices, from hundreds to many thousands of pounds, moving capital expenditure to a predictable monthly subscription. Looking further forward, this also means that firms would have continual access to the very latest software versions without additional capital expense. Over a 5 to 10 year period this is significant.
Software Houses such as TFB, Big Hand, nFlow, Microsoft and others either now possess or have embarked upon development of SaaS platforms.
Utility Computing
The idea is not new, but this form of cloud computing is getting new life from Amazon.com, Sun, IBM, and others who now offer storage and virtual servers that we can access on demand. Current adopters mainly use utility computing for supplemental, non-mission-critical needs. As the technology advances, this approach is quickly changing with more and more users making use of cloud platforms for mission critical equipment. Again, cloud based virtual computers are purchased for a monthly subscription, are easily scalable and require no capital outlay.
