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Enterprise Cloud growth rate to decrease: Analysys Mason

Enterprise Cloud growth rate to decrease: Analysys Mason

Public Cloud expected to slow over next few years

The worldwide enterprise Cloud-based services market will grow from $US18.3 billion in 2012 to $US21.9bn in 2017 according to research company, Analysys Mason.

The 2013 year-on-year (YoY) growth rate will be 17 per cent, but will decrease over the next five years as the size of the Cloud services market increases overall.

Software-as-a-service (SaaS) accounted for 66 per cent of revenue in 2012, while 33 per cent was related to infrastructure-as-a-service (IaaS). Analysys forecasts the revenue split to shift during the next five years with IaaS set to increases to 43 per cent by 2017.

Public Cloud is slower than previously forecasted

As a result of the difficult economic conditions worldwide and slower-than-anticipated adoption of new IT technology, the enterprise public Cloud services market will grow, but at a slower overall rate than in Analysys’ previous forecasts, it predicts.

Developed countries will see revenue from enterprise Cloud services increase from $US17bn in 2012 to $US28.7bn in 2017, at a compound annual growth rate (CAGR) of 11 per cent.

Revenue from these services will be much smaller in emerging markets, jumping from $US1.2bn to $US3.2bn through the same period for a CAGR of 20.9 per cent.

The share of worldwide enterprise public Cloud services revenue generated from emerging markets will be slightly above 10 per cent by 2017, up from per cent last year.

Analysys also predicts that communications service providers (CSPs) will account for an increasing share of enterprise Cloud services sales as they bundle more offerings with core connectivity; 18 per cent of total worldwide enterprise Cloud services by 2017 to be precise.

Additionally, SMEs, accounted for 43 per cent of total public Cloud services revenue by the end of last year, and Analysys expects the proportion to increase to 49 per cent by 2017. This is not only because SME awareness of public Cloud solutions will continue to increase, but the usability of SME Cloud services will increase as vendors and CSPs create affordable, easy-to-use solutions.

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Tags publicprivateresearchenterprise cloudAnalysys MasonCSPanalystSMEhybridSoftware-as-a-Service (SaaS)Infrastructure-as-a-Service (IAAS)

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