Cloud computing has no DIRECT impact on whether ITIL lives or dies beyond reminding us all of what the business and end user customers have required of IT for a long, long time. Cloud computing is a valid option for any IT organization - in fact most run some form of hybrid cloud computing environment today! Just step back for a moment - if you have your corporate email with Google - its been clouded...
ITIL is there to be leveraged - IMHO its the professional who is unable or unwilling to recognize where ITIL is strong and weak and plug gaps with other references and their experience, or who allows a customer to or organization to misunderstand what ITIL is and can do to help an ITSM initiative, that will be its downfall.
Cloud is not a fad - its a viable option and the term is being marketed daily into every living room by companies such as Microsoft and IBM, the former wrapped around their latest gaming systems. ITSMers need to get ahead of this as Cloud reflects a burning desire by customers to punt on the risk and costs, and get to the nirvana of utility computing where you pay for what you use and can shop around. Security issues will get resolved because the community demands it and it will lead to revenue for those who truly offer a risk free cloud option.
Given ITIL's gestation cycle its unreasonable for any professional to think it will contain the entire answer at any moment in time. Its a valid contribution. So it will survive, but become less strategic over time as an increasing number of sources are available and trusted.
Another old blog article here from me on this that lists many of the 'benefits' the business expected of ITSM, ITIL and now Cloud... A href="http://ianmclayton.com/?p=601">Every Cloud has a Silver Lining
