Cloud Services Projected to Grow Up to $206 Billion Worldwide in a Year Time

public-cloud-services-1024x475 Cloud Services Projected to Grow Up to $206 Billion Worldwide in a Year Time

Cloud Services Projected to Grow Up to $206 Billion Worldwide in a Year Time

The worldwide public cloud services market is projected to grow 17.3 per cent in 2019 to total $206.2 billion, up from $175.8 billion in 2018, according to a recent report carried out by Gartner, Inc. In fact, for this 2018, Gartner forecasts that the market will grow 21 per cent, up from $145.3 billion in 2017.

The report has found that the fastest-growing segment of the market is cloud system infrastructure services (infrastructure as a service or IaaS), which is thought to grow 27.6 per cent in 2019 to reach $39.5 billion, up from $31 billion expected in the current year.

But the report doesn’t only take 2018 and the next year, it also goes beyond that with outstanding findings within the public cloud services. That it is say that by 2022, Gartner expects that 90 per cent of organisations purchasing public cloud IaaS will do so from an integrated IaaS and platform as a service (PaaS) provider, and will use both the IaaS and PaaS capabilities from that provider.

“Demand for integrated IaaS and PaaS offerings is driving the next wave of cloud infrastructure adoption,” said Sid Nag, research director at Gartner. “We expect that IaaS-only cloud providers will continue to exist in the future, but only as niche players, as organisations will demand offerings with more breadth and depth for their hybrid environments. Already, strategic initiatives such as digital transformation projects resulting in the adoption of multicloud and hybrid cloud fuel the growth of the IaaS market.”

public-cloud-services-1024x475 Cloud Services Projected to Grow Up to $206 Billion Worldwide in a Year Time

Among all cloud services provided and operative in the market, software as a service (SaaS) remains the largest segment of the cloud market. Source: Gartner Inc.

Among all cloud services provided and operative in the market, software as a service (SaaS) remains the largest segment of the cloud market, with revenue expected to grow 17.8 per cent to reach $85.1 billion in 2019.

“The increasing adoption of SaaS applications and other cloud services impacts the management, dissemination and exploitation of organisation content,” Craig Roth, research vice president at Gartner. “Organisations are steadily — but not exclusively — shifting their content environments to SaaS. Gartner expects that by 2019, the current enterprise content management (ECM) market will devolve into purpose-built, cloud-based content solutions and solution services applications.”

In the business process as a service (BPaaS) category, Gartner forecasts a revenue growth of 7.9 per cent, to reach $50.3 billion in 2019. Gartner found that especially in this category, buyers increasingly expect deep domain expertise, technology and global deployment capabilities from their providers as well as service portfolios that bridge legacy offerings and support new automated, digital and cloud service delivery paradigms.

Additionally, for those who are interested in market insights, Gartner analysts “will provide additional analysis on cloud strategies and infrastructure and operations trends at the Gartner IT Infrastructure, Operations & Cloud Strategies Conference” taking place 26-27th November in London and 3-6th December in Las Vegas.

Gartner clients can read the full reports “Forecast Analysis: Public Cloud Services, Worldwide, 2Q18 Update” and “Forecast: Public Cloud Services, Worldwide, 2016-2022, 2Q18 Update.”