Gartner announced that the worldwide public cloud services market is expected to reach US$ 204 billion in 2016, an increase of 16.5% compared to 2015, when it recorded US$ 175 billion. The biggest growth will come from Cloud systems infrastructure services (Infrastructure as a Service (IaaS), which is expected to grow by 38.4% in 2016. Cloud advertising, the largest segment of the world services market, is expected to grow by 13 .6%, reaching US$ 90.3 billion.
“Public cloud services continue to show high growth rates across all markets and Gartner expects this to continue through 2017. This strong growth continues to be reflected in the shift from legacy IT services to cloud-based services due to the trend of growth of companies pursuing a digital business strategy,” says Sid Nag, Research Director at Gartner.
The IaaS segment will continue its accelerated growth in 2016, forecasting to reach US$ 22.4 billion dollars. “IaaS will continue to be a strong growth segment as companies move away from paid data centers and migrate their infrastructure needs to the public cloud. Some market leaders have gained significant advantages in this segment, so vendors must create mechanisms of differentiation to succeed”, says the Gartner analyst.
Cloud Application Services (SaaS) is expected to register a growth of 20.3% in 2016, reaching US$ 37.7 billion. As software vendors shift their business models from licensed on-premises software to public cloud-based offerings, this trend will continue. Furthermore, the entry of some of the biggest software vendors to the public cloud in 2015 will drive the growth of the SaaS market.
“Public cloud services continue to show high growth rates across all markets and Gartner expects this to continue through 2017. This strong growth continues to be reflected in the shift from legacy IT services to cloud-based services due to the trend of growth of companies pursuing a digital business strategy,” says Sid Nag, Research Director at Gartner.
The IaaS segment will continue its accelerated growth in 2016, forecasting to reach US$ 22.4 billion dollars. “IaaS will continue to be a strong growth segment as companies move away from paid data centers and migrate their infrastructure needs to the public cloud. Some market leaders have gained significant advantages in this segment, so vendors must create mechanisms of differentiation to succeed”, says the Gartner analyst.
Cloud Application Services (SaaS) is expected to register a growth of 20.3% in 2016, reaching US$ 37.7 billion. As software vendors shift their business models from licensed on-premises software to public cloud-based offerings, this trend will continue. Furthermore, the entry of some of the biggest software vendors to the public cloud in 2015 will drive the growth of the SaaS market.
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