The global market for public cloud services is set to grow by 17.5% in 2019. For a total of $ 214.3 billion, compared to $ 182.4 billion in 2018. The forecast is from Gartner research and consultancy company.
The fastest growing market segment will be the Cloud System Infrastructure Services, or Infrastructure as a Service (IaaS). Gartner expects this sector to grow by 27.5% in 2019, to reach US$38.9 billion. This compared to the US$30.5 billion totaled by this segment in 2018. The second highest growth rate, 21.8 percent, will be achieved by Cloud Application Infrastructure Services, or Platform as a Service (PaaS).
According to Sid Nag, vice president looking for Gartner, Features are definitely shaking the industry.
•In Gartner, we do not know about vendors or service providers whose business models and revenue growth are not affected at the moment by the growing adoption of cloud-first strategies in organizations. What we’re seeing now is just the beginning, though. By 2022, Gartner projects the size of the market and the growth of the cloud service industry at almost three times the overall growth of its services. added Sid Nag.
From cloud first to cloud only
According to recent Gartner surveys, the research company continues, more than a third of organizations consider cloud as the top three investment priorities. Which is having an impact on the market’s offers.
Gartner expects that by the end of 2019, over 30 percent of new technology provider software investments will move from cloud-first to cloud-only.
This means that the consumption of software based on licenses will be further reduced. While SaaS and subscription-based cloud consumption patterns continue to grow.
According to Nag, organizations need cloud-related services to… get on board on public clouds. And to transform their operations as they adopt public cloud services. At present, Nag again points out, nearly 19% of cloud budgets are spent on cloud-related services, such as consulting, implementation, migration and managed services. Gartner expects this percentage to increase to 28% by 2022.
The cloud, Gartner’s reflection, continues to become mainstream in most organizations. Therefore, product technology managers for cloud-related services offerings will need to focus on providing solutions that combine experience and execution with hyperscale providers’ offerings. This complementary approach, according to Nag, will guide both the transformation and optimization of an organisation’s infrastructure and operations.
More information and the possibility to read the full report are available on the Gartner website, at this link.