Virtualization has become one of the most important drivers of IT growth in Latin America, the technology solutions group alliance manager of HP's (NYSE: HPQ) Latin America unit Miguel Lavalle told BNamericas.
Lavalle said regional companies were turning to virtualization to optimize their use of IT infrastructure and reduce costs.
"It is not just a question of technology, but rather one of processes," he said. "Virtualization is an enabler because it reduces the costs of human capital and allows companies to be more flexible."
Lavalle expects virtualization adoption to boom for at least the next 5-6 years, particularly in larger markets such as Brazil.
Still, he acknowledged that virtualization adoption among larger companies would far outpace adoption among SMEs. He said the disparity existed because virtualization meets larger companies' more advanced technological needs.
Large companies "have been implementing IT applications for years," he said. "Today, their main challenge is how to rationalize their technology use. SMEs, on the other hand, have not invested as much in IT."
HP is currently collaborating with several multinational IT companies to help develop virtualization solutions. Lavalle said one of the company's most important partners in this area was Microsoft (Nasdaq: MSFT), as HP provides the high-performance virtualization platform for its Hyper-V server.
Lavalle estimates that 15-20% of HP's platforms are currently related to virtualization.
IDC analyst Lídice Fernández previously told BNamericas that the Latin American virtualization market was worth some US$17mn in 2007. The consultancy believes the segment has the potential to more than double in value in the next three years, reaching US$52mn by 2011.
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