Enterprise spending on public cloud services is forecast to grow 19% from $91 billion worldwide in 2011 to $109 billion in 2012. By 2016, enterprise public cloud services spending will reach $207 billion, according to Gartner’s global IT spending forecast* which was issued last week.
This promising growth forecast of public cloud services is in contrast to the rather dull growth outlook for overall IT spending. Worldwide IT spending is to reach $3.6 trillion in 2012, a 3 percent increase from 2011.
Public Cloud Service expenditure represents just 3% of overall IT spending, but is nonetheless challenging those in the legacy IT hardware and software. It means that enterprises are investing more heavily in cloud-based services. They are advancing their trust and knowledge base of the cloud, which are prime ingredients for future developments such as hybrid clouds.
“Business process as a service (BPaaS) still accounts for the vast majority of cloud spending by enterprises, but other areas such as platform as a service (PaaS), software as a service (SaaS) and infrastructure as a service (IaaS) are growing faster,” reported the research firm. IaaS is forecast to grow fastest, i.e. by 41% in 2012.
Gartner’s findings dovetail nicely with other research. According to Uptime’s recently released 2012 Data Center Industry Survey, cloud deployments have significantly increased globally over the past year. 25% of their respondents said they’re adopting public cloud and 30% said they were considering it. Another 49 % said they were heading into the private cloud, while another 37 percent were considering it.
* The IT spending forecast methodology used is primarily based upon the analysis of sales by 000’s of vendors across the entire range of IT product and services. Primary research techniques were complemented by secondary research sources, to build a comprehensive database of market size data upon which to base the forecast.
Last Updated on May 6, 2021