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Cloud computing is seen as an increasingly important enabler for improving productivity, efficiency and cost reduction. This research aims to identify factors that are perceived likely to influence the adoption of cloud computing for Australian municipal governments. The research model draws from the technology-organization-environment (TOE) framework and the diffusion of innovation (DOI) model. The research employed in-depth interviews of Australian councils' IT managers. The main factors that were identified as playing a significant role in Australian local council's adoption of cloud services were: relative advantage, compatibility, cost, technology readiness, competitive pressure.
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