Cloud Forecasts Darken A Bit After Q2

The mention of cloud computing in revenues calls has become routine by companies just as virtualization software maker VMware. Nevertheless like many emerging tech trends, expectations can jump ahead of reality.

"Companies are being cautious about deploying cloud computing," said Sean Hackett, innovation director for cloud computing at technology firm TheInfoPro.

But that followed disappointing results from Riverbed Innovation and F5 Networks that triggered a wave of selling throughout the sector.

The hottest trends in information research

Cloud computing has emerged as one of the hottest trends in information research. To put it more exactly than buying and maintaining their own systems, companies in essence rent their computing needs.

Acme Packet, which some analysts deem a cloud play, lost 13% those two days. The voice-over-Internet infrastructure firm late Thursday topped Q2 profit and sales estimates. It as well raised full-year guidance - nevertheless not enough to satisfy investors. Shares kept falling afterwards the close.

Riverbed, Acme and F5 are seen by some as being peripheral cloud players for now. Riverbed, for instance, provides products that boost data center performance. F5 and Acme help Internet performance.

Cloud computing is for real. Telecoms spent nearly $8 billion on cloud-related pursuits in the first half of 2011, according to Informa Telecoms & Media.

EMC CFO David Goulden reminded analysts that "we're all in all closer to the beginning than at the end of this fundamental shift to cloud computing."

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