IBM is estimating that global cloud revenue will grow to $200 billion per year by 2020. IBM hopes to generate $7 billion in cloud revenue in 2015.
While Amazon got an early start at dominating the cloud market, IBM is betting that its expertise in serving enterprises will offer a competitive edge. It has deep expertise in meeting local market and country regulations such as HIPAA (Health Insurance Portability and Accountability Act) and SOX (Sarbanes-Oxley Act), for example.
To this end, the Washington and Dallas data centers will be focused on serving the FISMA (Federal Information Security Management Act) requirements of the U.S. federal government.
IBM also has a strong partner program that allows regional IT companies, integrators and consultancies to tailor the IBM cloud offerings to their own customer base of small and midsized companies, Wettemann said.
IBM CEO Virginia Rometty will be announcing more details about the company's cloud plans at its Pulse conference, to be held in Las Vegas next month.