Cloud innovation is at the heart of enterprise plans for digital transformation, with spending on the technology to make it happen set to soar. This is the chief finding of new research from independent analyst firm IDC.
IDC has forecast what it calls ‘whole cloud’ spending – in other words total spending on cloud services, as well as related hardware and software and the managed services needed to make it all work – will rise above $1.3 trillion by 2025, representing a compound annual growth rate of 16.9%.
The as-a-service side of the cloud sector is set for particular growth. IDC predicts that global investment in Infrastructure as-a-Service (IaaS), System Infrastructure Software as-a-Service (SISaaS), Platform as-a-Service (PaaS), and Software as-a-Service (SaaS) will total $385 billion in 2021, rising to $809 billion by 2025.
“In today’s digital-first world, business outcomes and innovation are increasingly tied to the ability to develop and use innovative technologies and services anywhere, as quickly as possible,” said Rick Villars, group vice president, Worldwide Research at IDC. “Cloud is the foundation for meeting this need. Entire industries want to intelligently leverage data to their advantage and can do so because they have faster access to digital technologies built on a cloud foundation.”
Cloud networking-as-a-service (CNaaS) is the latest frontier in cloud innovation, according to Amir Khan, CEO of network cloud pioneer Alkira: “What CIOs require is a ready-made solution that takes them into the heart of every cloud platform, and which is designed to work seamlessly and consistently across multiple clouds,” he explained. “They need this solution to connect everything, including their on-premise IT, all as a single network with end-to-end visibility and management, no performance compromises and boundless scalability. They want it all delivered as a service, giving them the agility to set up connections in a matter of minutes via a simple point-and-click interface that does away with the need for deep cloud or networking expertise. In short, they need a multi-cloud capable network that behaves just like the cloud, consumed as-a-service, like the cloud. With cloud networking as a service they have all of this.”
This event will explore cloud issues in useful depth: