Cloud services are currently revamping the IT industry. A Gartner survey unveiled last month stated that the worldwide public cloud services market is projected to grow 17.5 percent in 2019 to total $214.3 billion, up from $182.4 billion in 2018. “The adoption of cloud has become mainstream now. We are now in what we call the Cloud 2.0 era. This is driving organizations to move to cloud only investment model,” said Mr Sid Nag, Research Vice President, Gartner to DataQuest.
The fastest-growing market segment will be cloud system infrastructure services, or infrastructure as a service (IaaS), which is forecast to grow 27.5 percent in 2019 to reach $38.9 billion, up from $30.5 billion in 2018, while the second-highest growth rate of 21.8 percent will be achieved by cloud application infrastructure services, or platform as a service (PaaS).
Furthermore, more than a third of organizations see cloud investments as a top three investing priority, which is impacting market offerings, says Gartner. By the end of 2019, more than 30 percent of technology providers’ new software investments will shift from cloud-first to cloud-only. This means that license-based software consumption will further plummet, while SaaS and subscription-based cloud consumption models continue their rise.
“As cloud continues to become mainstream within most organizations, technology product managers for cloud related service offerings will need to focus on delivering solutions that combine experience and execution with hyperscale providers’ offerings,” said Mr. Nag. “This complementary approach will drive both transformation and optimization of an organization’s infrastructure and operations.”