Cloud Computing Revenue to Witness an Upswing by 2017

By CIOReview | Friday, February 14, 2014
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FREMONT, CA: Cloud computing is fast becoming one of the most important trends in enterprises and is expected to see a revenue boost in the coming years. Webpronews reported that companies are investing billions to form a flexible cloud computing platform as per their requirements and operations.

Cloud-related spending involves services on which companies build their application and physical infrastructure. This also includes the large number of servers which are  required to support the sector’s growth.

Cloud-related spending, according to IHS, will include cloud-based services on which businesses can build both applications and infrastructure. The spending also includes the physical infrastructure related to cloud computing, including the huge number of servers that will be needed to support the segment’s growth.

According to IHS, the market research firm, the amount spent by companies in 2011 on cloud-related technologies is expected to triple on in 2017. The research firm estimates that the spending on cloud computing will reach $174.2 bn this year, which is a 20 percent increase over the $145.2 bn spent in 2013. It also predicts that the revenue from cloud computing will gross over $235 bn by 2017.

Jagdish Rebello, Principal Analyst for Cloud and Big Data, IHS, said that, “With the cloud touching nearly every consumer and enterprise around the globe, spending for cloud-related storage, servers, applications and content will be dedicated toward building a framework that is rapidly scalable, highly dynamic, available on-demand and requiring minimal management. The robust growth will come as an increasing number of large and small enterprises move more of their applications to the cloud, while also looking at data analytics to drive new insights into consumer behavior.”