Is the Cloud Really Raining Dollar Signs?
October 5, 2016
Cloud computing offers people the ability to access their files from any place in the world as long as they have a good Internet connection and a cloud account. Many companies are transferring their mainframes to the cloud, so their employees can work remotely. Individuals love having their files, especially photos and music, on the cloud for instantaneous access. It is a fast growing IT business and Forbes reports that “Gartner Predicts $111B In IT Spend Will Shift To Cloud This Year Growing To Be $216B By 2020.”
Within the next five years it is predicted more companies will shift their inner workings to the cloud, which will indirectly and directly affect more than one trillion projected to be spent in IT. Application software spending is expected to shift 37% towards more cloud usage and business process outsourcing is expected to grow 43%, all by 2020.
Why wait for 2020 to see the final results, however? 2016 already has seen a lot of cloud growth and even more is expected before the year ends:
$42B in Business Process Outsourcing IT spend, or 35% of the total market, is forecast to shift to the cloud this year. 25% of the application software spending is predicted to shift to the cloud this year, or $36B.
Gartner is a respected research firm and these numbers are predicting hefty growth (here is the source). The cloud shift will surely affect more than one trillion. The bigger question is will cloud security improve enough by 2020 that more companies will shift in that direction?