News & Information for Technology Purchasers NewsFactor Sites:     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
This ad will display for the next 20 seconds. Please click for more information, or scroll down to pass the ad, or Close Ad.
Home Enterprise I.T. Cloud Computing Applications Hardware More Topics...
APC Free White Paper
Optimize your network investment &
Enter to win a Samsung Galaxy Note
Enterprise I.T.
24/7/365 Network Uptime
Average Rating:
Rate this article:  
IDC: Public Cloud Services for IT Are Booming
IDC: Public Cloud Services for IT Are Booming

By Barry Levine
September 12, 2012 12:06PM

    Bookmark and Share
IDC envisions that, by 2016, 16 percent of IT revenue will be based on public IT cloud services in five areas -- applications, system infrastructure software, platform as a service, servers and basic storage. By that year, cloud services will provide more than 40 percent of all growth in these areas, IDC said.

Global spending on public cloud services for IT will grow at a rate of more than 26 percent over the next four years -- five times faster than the IT industry overall. That's the projection of a new forecast Tuesday from research firm International Data Corp.

The study, Worldwide and Regional IT Cloud Services 2012-2016 Forecast, projects that spending in 2012 on public clouds will reach more than $40 billion, and will hit $100 billion by 2016. This reflects a general trend by companies to increasingly move their operations to cloud services.

'Transformative Period'

Frank Gens, senior vice president and chief analyst at IDC, said in a statement that the IT industry is in the "midst of an important transformative period," as companies invest in technologies such as cloud computing and storage. "By the end of the decade," he said, "at least 80 percent of the industry's growth, and enterprises' highest-value leverage of IT, will be driven by cloud services" and other technologies.

Gens said that the forecast, the fifth annual one on this topic since 2008, marks the transition of cloud investment priorities from "simply improving IT operations to delivering business innovation."

The study envisions that small- to medium-size businesses will rise as a more critical customer segment, and that platform-as-a-service (PaaS), which IDC said had a slower than expected start this year and last, will become "the strategic foundation" of the new cloud services marketplace. In fact, the study projects that PaaS rollouts will accelerate over the next year and a half, and that this growth will be critical to the continuing momentum of cloud services.

IDC envisions that, by 2016, 16 percent of IT revenue will be based on public IT cloud services in five areas -- applications, system infrastructure software, platform as a service, servers and basic storage. By that year, cloud services will provide more than 40 percent of all growth in these areas.


On the spending side, software-as-a-service, combining both apps and infrastructure as a service, will be the largest category over the next five years, according to IDC. However, the research firm said that storage and platform as services will show faster growth.

The study also said that the U.S. will continue to be the largest public cloud services market, followed by Western Europe and Asia/Pacific, not including Japan. By 2016, however, public IT cloud services will see a boom in emerging markets.

The projections do not include private cloud deployments, which are generally confined to use by a specific company. Public IT cloud services, in IDC's definition, are those offerings available on a commercial basis to a general, unrestricted market. The two will become more alike in some ways, IDC said, such as public clouds' incorporation of the security and availability capabilities that are now more frequently associated with private clouds.

Tell Us What You Think


John Okada:

Posted: 2012-09-13 @ 12:11pm PT
The cloud industry is one of the fastest growing technology sectors today. There are new companies entering the market all the time. This can make it difficult for consumers to choose from so many choices. If you need help picking the best cloud service, you should check out .

APC has an established a reputation for solid products that virtually pay for themselves upon installation. Who has time to spend worrying about system downtime? APC makes it easy for you to focus on business growth instead of business downtime with reliable data center systems and IT solutions. Learn more here.

 Enterprise I.T.
1.   Malware Targets Facebook Users
2.   Zebra Buys Motorola Enterprise Biz
3.   NSC Backs Disclosing Vulnerabilities
4.   Salesforce To Dominate S.F. Skyline
5.   Heartbleed Bug Could Disconnect IoT?

Malware Targets Facebook Users
iBanking app spys on communications.
Average Rating:
Zebra Buys Motorola Enterprise Biz
Pays $3.45B in all-cash deal.
Average Rating:
Google Glass Finds a Home in Medicine
Hands-free information access a boon.
Average Rating:
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Google's Street View Software Unravels CAPTCHAs
The latest software Google uses for its Street View cars to read street numbers in images for Google Maps works so well that it also solves CAPTCHAs, those puzzles designed to defeat bots.
Canadian Teen Arrested for Heartbleed Hack
One week after the OpenSSL Heartbleed vulnerability was unveiled, Canadian authorities have made the first arrest -- a London, Ontario teenager -- connected to exploiting the security hole.
IBM Offers Security, Disaster Recovery as SoftLayer Service
New disaster recovery and security services for SoftLayer clients are being added by IBM. Big Blue said the new capabilities will speed cloud adoption by alleviating concern over business continuity.

Enterprise Hardware Spotlight
Vaio Fit 11A Battery Danger Forces Recall by Sony
Using a Sony Vaio Fit 11A laptop? It's time to send it back to Sony. In fact, Sony is encouraging people to stop using the laptop after several reports of its Panasonic battery overheating.
Continued Drop in Global PC Shipments Slows
Worldwide shipments of PCs fell during the first three months of the year, but the global slump in PC demand may be easing, with a considerable slowdown from last year's drops.
Google Glass Finds a Home in Medical Education, Practice
Google Glass may find its first markets in verticals in which hands-free access to data is a boon. Medicine is among the most prominent of those, as seen in a number of Glass experiments under way.

Mobile Technology Spotlight
Google Releases Chrome Remote Desktop App for Android
You're out on a sales call, and use your Android mobile device to grab a file you have back at the office on your desktop. That's a bit easier now with Google's Chrome Remote Desktop app for Android.
Amazon 3D Smartphone Pics Leaked
E-commerce giant Amazon is reportedly set to launch a smartphone after years of development. Photos of the phone, which may feature a unique 3D interface, were leaked by tech pub BGR.
Zebra Tech Buys Motorola Enterprise for $3.45B
Weeks after Lenovo bought Motorola Mobility’s assets from Google for $2.91 billion, Zebra Technologies is throwing down $3.45 billion for Motorola’s Enterprise business in an all-cash deal.

NewsFactor Network
Home/Top News | Enterprise I.T. | Cloud Computing | Applications | Hardware | Mobile Tech | Big Data | Communications
World Wide Web | Network Security | Data Storage | Small Business | Microsoft/Windows | Apple/Mac | Linux/Open Source | Personal Tech
Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters | XML/RSS Feed

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.