CAPEX no longer an immovable object
When it comes to new infrastructure, capital investment has long been seen as an immovable object. Whether it is transport, utilities or IT, taking a conventional approach to infrastructure requires CAPEX. This brings with it the often tricky question of financing.
Recent years have seen the phenomenal growth of cloud computing. The cloud really took off when the credit crunch strangled the supply of capital. This led those that needed to replace obsolete and legacy IT systems to turn to innovative cloud solutions which require little or no capital funding. The business model includes payment by monthly subscription, effectively shifting IT from the CAPEX to the OPEX budget.