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This paper is the first in a three-part series that will look at cloud computing from the market and legal perspectives. This first paper focuses on the technological and business capabilities of cloud computing and associated privacy and data security concerns. Part II will focus on the current state of the law that applies to cloud computing services. Part III will highlight industry and policy developments in the past months and upcoming few weeks. Less than a year ago, at an Xconomy Forum entitled "The Promise and Reality of Cloud Computing," former IBM CEO Irving Wladawsky-Berger characterized cloud computing as the next evolution of the internet. [FN1] He also suggested that it would someday encompass billions of users and trillions of devices.
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