How can the internal IT department successfully react to cloud computing?

Becoming an external cloud provider is a fundamental change in the organization's business model, not a typical strategic reaction for an internal IT department.

By becoming an internal cloud provider, the IT department can leverage cloud principles and technologies to deliver services and infrastructure to the business more efficiently. This transformation allows IT to enhance its value by offering self-service portals, automation, and cloud-like agility to internal customers.

Outsourcing all IT services would lead to the dissolution or significant reduction of the internal IT department, which is not a method for it to successfully react and adapt.

While security is a critical aspect of cloud computing, solely focusing on security issues neglects the broader strategic, operational, and service delivery transformations required for IT to thrive in a cloud-centric environment.