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Corporate IT's Downfall?

November 30, 2005

A column by The Washington Post's Steven Pearlstein discusses the increasingly popularity of the idea that the large IT infrastructures maintained by most large companies today will become unnecessary. Just as in the early days of electricity, when companies generated their own power until an advisor to Thomas Edison pointed out that better economies of scale could be achieved by centralizing electricity generation, allowing companies to share it off a centralized grid (and thus giving birth to the first public electric utility company), some IT industry visionaries are endorsing this method for the future of corporate information technology.

By sharing centralized IT resources, companies could pay for only what they use and radically lower their administration budgets.

Find the column here:


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