KUALA LUMPUR, Oct 5 (Bernama) -- The Multimedia Development Corporation (MDeC) is allocating RM1.8 million worth of disbursements and other benefits for independent software vendors (ISVs) to develop cloud software and services for small and medium enterprises.

Chief Executive Officer Datuk Badlisham Ghazali said the allocation under the Multimedia Super Corridor Malaysia cloud initiatives for SMEs was to drive adoption of cloud-based services while catalysing demand by local enterprises for Made-in-Malaysia cloud software and services.

"Our target by end-2012 is to enable a total of 60 ISVs, with an on-boarding programme and stimulus package to develop and promote Malaysia-made cloud applications and services," he told reporters at the launching of MSC Malaysia cloud initiatives today.

Badlisham said MDeC is also apportioning RM2.25 million, which translates to up to six months subscription fee for 1,500 SMEs, to deploy cloud software and services developed by ISVs under the SME Cloud Computing Adoption Programme.

According to Frost and Sullivan, cloud computing for business in Malaysia is expected to reach a market size of US$161.4 million by 2017.

Meanwhile, commenting on the 2012 Budget, Badlisham said the government should address measures to encourage people to use online services in doing business.

Many people are still skeptical on online services, especially involving sales and purchases, eventhough it made transactions easier and cheaper, he added.

-- BERNAMA