According to a new Gartner growth forecast, global spending on public cloud services will increase by 20.7% to $591.8 billion in 2023, reflecting growing demand from businesses for a variety of cloud services.
Gartner also predicts that companies will spend $490.3 billion on cloud services this year, an increase of 18.8% from $412.6 billion in 2021. Moreover, the growth rate of the market is expected to speed up from 18.8% this year to 20.7% in 2023. According to Gartner’s forecast, the cloud service market is divided into six major segments. In 2023, the infrastructure-as-a-service category is expected to grow fastest, increasing by at least 29.8% to $150.2 billion.
“Cloud migration is not stopping. IaaS will naturally continue to grow as businesses accelerate IT modernization initiatives to minimize risk and optimize costs. Moving operations to the cloud also reduces capital expenditures by extending cash outlays over a subscription term, a key benefit in an environment where cash may be critical to maintain operations,” said Sid Nag, Vice President analyst at Gartner said.
Platform-as-a-service and Software-as-a-Service are expected to grow at 23.2% and 16.8% respectively, with PaaS spending rising from $110.6 billion this year to $136.4 billion in 2023, and SaaS budgets rising from $146.3 billion to more than $195.2 billion over the same period.
According to Gartner, Desktop-as-a-Service will grow from $2.54 billion in 2022 to $3.1 billion in 2019. Cloud business process services are expected to grow from $60.1 billion to $65 billion, while cloud management and security services are expected to rise from $34.1 billion to $41.6 billion.
The sources for this piece include an article in TheRegister.