As per research firm Gartner, blockchain technology has not been able to impress a majority of enterprises worldwide. The firm said that most of the Chief Information Officers CIOs are not looking to adopt the technology anytime soon.
Gartner claims that only one percent of CIOs have hinted about the use of blockchain technology in any project or system within their organization. Furthermore, only eight percent of them are looking forward to using blockchain for short-term goals or any other experimentation.
CIO Survey 2018 conducted by Gartner states that 77 percent of the CIOs do not feel positive about the use of blockchain technology at all they also do not have any plans to employee distributed ledgers.
On the other hand, blockchain technology is being praised by many experts for its ability to secure records through a system of decentralized and distributed ledgers. The technology records transactions in real time in form of nodes that are distributed across the network. It makes the system technically hack proof and speedy in comparison to other systems. Big players like Microsoft, JPMorgan Chase, IBM, and Visa have already adopted the technology.
The breakthrough technology has no limitations in relation to its application as it can be used in cross-border payments, secure record keeping, simplification of the supply chain, smart contracts for real-time trade of assets and keeping medical records.
In his opinion of the blockchain, Vice President Gartner, David Furlonger, said, “It is critical to understand what blockchain is and what it is capable of today, compared to how it will transform companies, industries, and society tomorrow.”
Furlonger believes that we should not force a head-on collision with a new technology as it always poses a huge risk that can lead to wasted investments and time. Improper approach to blockchain can hamper its reputation, and a technology can become long forgotten which could have otherwise benefited the human race.
The survey states that 293 CIOs were interested in blockchain of which 23 percent were skeptical of the technology as they lacked skilled professional to implement distributed ledger projects. 13 percent of the CIOs admitted that IT departments would have to go through radical changes in order to assist blockchain solutions.
Developers will have to possess a thorough knowledge of laws, decentralized systems, security, value exchange and many more things to manage a blockchain based application
Furlonger said, “The challenge for CIOs is not just finding and retaining qualified engineers, but finding enough to accommodate growth in resources as blockchain developments grow. Qualified engineers may be cautious due to the historically libertarian and maverick nature of the blockchain developer community.”
Meanwhile, CIOs from insurance, telecom, and financial services industries have indicated their genuine interest in the technology on several occasions. Furlonger added, “While many industries indicate an initial interest in blockchain initiatives, it remains to be seen whether they will accept decentralized, distributed, tokenized networks, or stall as they try to introduce blockchain into legacy value streams and systems.”
Backing the sentiments, IDC, a provider of market intelligence, advisory services, has expected that international spending on blockchain solutions will touch $2.1 billion in 2018 and $9.7 billion by the year 2021.