Instead, the cloud market has been remarkably resilient. In the context of a cloud adoption, a workload is a collection of IT assets (servers, VMs, applications, data, or appliances) that collectively support a defined process. ", Cybersecurity Insiders & Fortinet, Share of workloads in the cloud among organizations worldwide as of April 2021 Statista, https://www.statista.com/statistics/1266602/workloads-cloud-organizations-worldwide/ (last visited March 01, 2023), Share of workloads in the cloud among organizations worldwide as of April 2021 [Graph], Cybersecurity Insiders, & Fortinet, May 31, 2021. In just the first four months of 2020, the value of completed data center acquisitions, at US$7.5 billion in only 28 deals, was greater than in all of 2019.13, Although cloud is growing rapidly overall, it serves multiple industries, many of which have cut spending sharply. "Share of workloads in the cloud among organizations worldwide as of April 2021." A simple process could often turn into a fog of conflicting goals, broken dependencies, and cost overruns. As an example, Siemens is allowing employees to WFA, where feasible and reasonable, two to three days per week going forward; this policy applies to more than 140,000 employees at about 125 locations in 43 countries.16 Continuing or growing WFA arrangements such as this could strengthen ongoing demand for cloud. The second most popular cloud storage service Dropbox has a huge following as well, with over 700 million reported users, according to its financial statements.24, In 2020, the total worth of the market was $371.4 billion. We benchmarked our numbers, at least 10 percentage points [of revenue] is what we're saving. Already, cloud has become much more than an alternative computing approach; in the near future, it is poised to become standard operating procedure for all types of businesses. to receive more business insights, analysis, and perspectives from Deloitte Insights. container platforms, virtual machines) is also expected to . Economies of scale usually matter, and while it isnt necessarily winner take all, it may be winner take most., The market for hyperscale cloud services might be shifting from a global market to a decoupled market split between China, served mainly by China-based providers, and the rest of the world (ROW), served primarily by US-owned hyperscale companies. Therefore, storage services with unlimited cloud storage are a perfect solution for this problem. Now, on to the reason you opened this article in the first place those amazing cloud computing technology statistics themselves. Since at least three years ago, most organizations with workloads in the cloud have made this a top priority, along with cloud security. The COVID-19 pandemic profoundly affected many aspects of our lives, and work was no exception. The respondentsglobal cloud decision makers and usersrevealed their experiences with cloud migration, cloud computing, and their insights about the public, private and multi-cloud market. The market in the first half of 2019 was about US$40 billion larger than in the first half of 2018, while the market in the first half of 2020 was about US$50 billion larger than in the first half of 2019. Almost a quarter said that the increased threat is critical and imminent. Only 15% believed that the cyberthreat will return to previous levels postpandemic, while five out of six believed that the new threat level is permanent.27, Cloud costs and benefits. Visit the cloud economics webpage today. This type of software includes remote desktop tools such as TeamViewer and Chrome Remote Desktop, which allow you to connect to a remote computer and work on it via a remote internet connection.27. In 2019, total hyperscale spending on capex (which includes both IT infrastructure and physical infrastructure spend) was over US$120 billion.21 Given the continued growth in revenues, it seems likely that hyperscale capex will continue to grow at double digits, reaching US$150 billion by 2022. . Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee (DTTL), its network of member firms, and their related entities. By 2022, the adoption of cloud technologies by other countries will fall behind the US by several years. Cloud data centers will process 94 percent of all workloads in 2021. The likely reason: increased demand driven by COVID-19, lockdowns, and work from anywhere. These servers host data that you can access via an internet connection. In 88 percent of cases, human error is to blame for cloud breaches, not cloud providers. "The most common workload preventing IT departments from lifting all services to the cloud was 'Print & Imaging Services' (55 percent)," the company said in a March 10 news release. How many cloud services and apps do you use? On-premise workloads are predicted to shrink from 37% today to 27% of . Worldwide, most financial services companies are using some form of cloud technology, with 83% reporting they are using the technology as part of their computer infrastructure, according to a new Harris Poll released by Google Cloud.. Financial service institutions in North America are leading the way in cloud adoption, with 54% in the U.S. saying they use the technology, followed by 52% in . While cloud computing is an integral part of every modern organization (typically taking up a large portion of IT infrastructure spending), personal users also depend on cloud services. So do nine of the top ten public clouds. By comparison, only 25 percent of all the computing data was stored this way in 2015. We hope that you have found these cloud computing stats and trends both interesting and fun. At the time of the study, the percentage of organizations with a cloud IT infrastructure revolved around the 45% mark. . 80 percent of cloud management efforts will support 20 percent of the service incidents or trouble tickets. Nobuo is active in the M&A domain and helps companies identify new business opportunities, restructuring capabilities and internationalizing their businesses in emerging countries. See Terms of Use for more information. Based on limited data, it appears that the Chinese cloud market grew faster than the ROW hyperscale market through September 2020, and we would predict that decoupling would continue, if not increase.18, Finally, it is worth noting that in addition to the pandemic, the move to cloud has a long-running tailwind in terms of demand. As a result, we see pockets of spending deceleration even at these companies.14. As always, thank you for reading. Highlights include: Thirty-three percent reported spending $1.2 million or more on Google Cloud Platform. Microsoft has already started rolling out its Windows 365 service, which offers virtual personal computers running Windows 10 or 11. Another goal for cloud providers is to develop vertical-specific apps that must reside at the edge due to latency requirements and other factors. Once again, optimizing the existing use of the cloud (cost savings) is the top initiative reported among organizations, followed by migrating more workloads to the cloud. This rapid level of growth and migration . [2]. The appropriately named Citadel is the largest data center ever constructed, and is located in Tahoe Reno, Nevada. Linux's strength comes from its open-source design and . It is critical to disrupt your market without interrupting your business during the migration.26, Cloud, security, and COVID-19. In todays increasingly digital world, the way a business approaches its cloud computing strategy is paramount. 7. With more than 25 years of experience, he has steered large-scale digital and enterprise transformations, helping to enable enhanced market competitiveness for some of the worlds most influential brands. to incorporate the statistic into your presentation at any time. We test each product thoroughly and give high marks to only the very best. 57% of businesses will migrate their workloads to the cloud in 2022. However, many other companies sell chips, storage, and connectivity solutions into the cloud space. This trend will persist well after the pandemic.23, One emerging development for hyperscale cloud providers is the intelligent edge. For cloud providers, artificial intelligence (AI) apps and dev tools are critical to attracting and maintaining enterprise customers and require investment or acquisition.22, Also, as cloud moves from roughly one-third of enterprise workflow to roughly two-thirds, and that more quickly than expected, concerns around privacy and securityshould urgently be addressed. In, Cybersecurity Insiders, und Fortinet. This can help optimize infrastructure, increase staff productivity, and enhance business value.30, New opportunities for value.Moving to the cloud is not only allowing organizations to recover but positioning them to thrive postpandemic, increasing resilience and supporting business continuity at first, and then allowing to them to do new things and offer new services. Initially, all AI computing took place on general-purpose central processing unit (CPU) chips. Workload operations should . To stay logged in, change your functional cookie settings. This question focused on percentage of existing workloads, rather than where the main workload was located or what would happen in the future (a more objective representation). Thats three times the size of the second largest market, Western Europe, which has 21 percent of the market total. Amazon Web Services (AWS) had an 80% share of the enterprise cloud adoption in 2022. Go straight to smart with daily updates on your mobile device, See what's happening this week and the impact on your business. When we move to cloud providers, the rate of efficiency using servers is 85%. However, the truth is far less dramatic than this and mostly comes down to mistakes made by employees. . Total 2020 revenues are likely to exceed US$35 billion, and could top US$40 billion in 2021. The clouds importance cannot be overstated, and cloud technologies of all types and models will only become bigger and more essential in the years to come. This growth is expected as more organizations migrate their IT workloads to the cloud. In fact, 76 percent measure their cloud progress according to cost efficiency and the savings they made thanks to cloud initiatives.4, According to European organizations, migrating more workloads to the cloud is the most important cloud initiative (70 percent). Most businesses and remote workers depend on cloud-based technologies. First, although lockdowns are unlikely to be as uniform as they were earlier in 2020, flareups in the pandemic and more-localized lockdowns are still driving WFA and cloud growth. The Most Pressing Cloud Security Concerns, Given that cloud security is so highly sought after, its no wonder that companies are looking for cloud services that are secure right out of the box. To compete in todays game, organizations must have the cloud play a role in their strategy. 2. But what about the network infrastructure underneath? Based on market share, the largest cloud computing company in the world is Amazon Web Services. An April 2020 survey of 50 CIOs found that respondents expected to see the proportion of total workload done on-premise drop from 59% in 2019 to 38% in 2021, a reduction of 41%.6 Moreover, they expected public clouds proportion of total workload to grow from 23% to 35% in the same timeframe, with private and hybrid cloud reaching 20% and 7% of workload, respectively. However, she said, 81 percent of customers reported the repatriation of workloads from public clouds to on-premises private cloud, hosted private cloud, or on-premises non-cloud infrastructures, a . As noted above, increases in cloud usage mean increases in the cyberattack surface, making security more important than everespecially given the growth in usage driven by COVID-19. Well be looking at 26 of the most interesting, relevant and game-changing stats all across the industry, from cloud adoption rates and security concerns, to enterprise infrastructure, cloud computing spending and much more. This has proven to be invaluable over the past two years to meet evolving needs presented by the COVID-19 pandemics impact on business. In Malaysia, the first mainframe, the IBM System/360, was introduced in 1964. This momentum will continue as companies plan to increase their cloud adoption in the wake of COVID-19.. Although growth declined to 18% in calendar Q3, this still works out to a 36% increase in the first nine months of 2020. As of 2021, the very lucrative video streaming market is worth a combined $59.14 billion (read our streaming statistics guide to learn more). An overwhelming majority of enterprises continue to move workloads from the cloud back to on-premises data centers, although it is a smaller percentage than before, according to IDG research. MEGA (5.09 percent), Box (4.17 percent) and pCloud (1.39 percent), which have all made our list of best cloud storage services, are also widely used.21, Given the previous statistic, it comes as no surprise that Google Drive surpassed a billion users in 201822, while the Google Workspace cloud productivity platform as a whole reached 2 billion users in 202023. Over time, transistors keep getting smaller. He earned his masters and bachelors degrees from Texas A&M University, and completed executive education programs at Babson College and Arizona State Universitys Thunderbird School of Global Management. If you are interested in learning more about these terms, we invite you to read our cloud terminologies article, which explains how they function in greater detail. For the complete survey results, download the free Flexera 2022 State of the Cloud Report. It is projected that this market will grow to more than $76 billion in 2021. . Of course, it is impossible to predict with 100 percent accuracy how the future of cloud computing will look COVID-19 showed us that everything can change but certain patterns concerning cloud technologies and cloud infrastructure have emerged and they warrant analysis. If you are an admin, please authenticate by logging in again. Cloud computing has profoundly changed the way we live our lives and conduct business. Flexera cited as a leader by independent research firm for cloud cost management and optimization. But even though many organizations will retain at least some on-premise resources, and even in current economic conditions, cloud providers have much to look forward to as migration to the cloud accelerates. For computational environments, a workload is an expression of an ongoing effort of an application AND what is being requested of it. Consequently, several noteworthy cloud computing trends have emerged, so let us take a look at their impact and development. By some metrics, the cloud market grew even faster in 2020 than in 2019, even during the steepest economic contraction in modern history. Time Machine vs Arq vs Duplicati vs Cloudberry Backup. Many pundits as well as organizations, such as the World Economic Forum34 and the OECD,35 have called for a green reset following COVID-19. Directly accessible data for 170 industries from 50 countries and over 1 million facts: Get quick analyses with our professional research service. Get the latest insights in cloud computing trends and cloud migration statistics. Each article that we fact check is analyzed for inaccuracies so that the published content is as accurate as possible. This means that while overall growth is strong, it is not uniform. Much of this data is stored on cloud file storage solutions, so to help you out with picking the safest ones, weve compiled a list of cloud storage services with the best security and privacy. On-premise versus cloud workload. Organizations are moving to the cloud because of its scalability, economy and reachand theyre using a variety of metrics to measure its resulting business value. Weve seen two years of digital transformation in two months.Microsoft CEO Satya Nadella1. Eighty-nine percent of respondents reported having a multi-cloud strategy, and 80 percent are taking a hybrid approach by combining the use of both public and private clouds. Growth in cloud computing has been a megatrend over the last decade, with the market experiencing triple-digit annual growth as recently as 2015. As organizations move more workloads to the cloud, they can retire the technical debt . One thing is certain: to remain competitive and maximize the available advantages, organizations must make strategic decisions about cloud computing, cloud architecture, usage of public clouds, effective tooling, cloud migration and cost management. These services include everything from simple cloud storage to cloud infrastructure platforms, like AWS. As organizations move more workloads to the cloud, they can retire the technical debt associated with maintaining and operating traditional data centers. More than 50 percent of the executives surveyed rely heavily on financial metrics principally, cost and ROI to determine the path to success for their cloud initiatives. 71% of enterprises look for speed improvements, 63% . Criteria for which workloads move to cloud. The cloud workloads summary breaks down cloud approaches used by respondents like this: Public cloud: 40 percent; On-premises legacy: 31 percent; Private/hybrid cloud: 29 percent; The most popular workloads across all three approaches are: databases, analytics and web/content hosting, as shown here: To use individual functions (e.g., mark statistics as favourites, set As the leader of Deloitte China Cloud Practice as well as Tech Strategy practice, Michael provides Tech Strategy, Cloud and Digital Transformation service to many large organizations covering industries like Consumer Product, Retail, Energy &Resource, Industry Products, FSI, etc. This will create new roles . Consequently, the cloud infrastructure of a private cloud (the physical servers that host the private cloud) is maintained by that organization. You can only download this statistic as a Premium user. Although these companies are not necessarily providing detailed quarterly numbers, their commentary has been in line with those that do release exact numbers. Azure pricing as of 30 October 2018 (prices subject to change). He is the lead researcher on semiconductor topics for the US TMT Center and for Deloitte Global. Since the COVID-19 crisis, the cloud computing market has been on a rapid upward trajectory when it comes to cloud adoption, infrastructure, spending and development. Since all you need is an internet connection, cloud computing is super convenient for both business and personal use. Cloud Computing Trends: Flexera 2022 State of the Cloud Report, Practical Guide for a Successful Cloud Journey, Cloud Migration and Modernization Datasheet. In calendar Q1 2020, they saw growth explode by 42% compared to the previous year. However, a workload should have defined boundaries regarding . Without sufficient capacity . Postpandemic, all of these factors will likely be even more challenging. Michael also leads the GTM and cross-offering efforts within Consulting in North Region as Regional Consulting Leader. By 2021, 33% of surveyed enterprises were running over 50% of their workloads on the cloud, indicating that this trend will continue to increase over time. Most deployments will likely use a combination of a public cloud and a private environment that remain distinct entities but are bound together, an approach known as hybrid cloud. Cloud will no longer be considered a location just where data is stored and accessed, but rather an operating model. These are often used by government agencies and large organizations. By 2024, in contrast, more than 1.5 billion devices will have dedicated edge AI chips (called neural processing units, or NPUs) in them by 2023.46 These NPUs, mainly used for inference, will likely reduce the demand for energy over time: They tend to be more efficient than the chips in data centers, and they eliminate the need to send large data files up to the cloud, which consumes more energy. 1The 72 percent saving is based on one M32ts Azure VM for Windows OS in US Gov Virginia region running for 36 months at a Pay as You Go rate of ~$3,660.81 per month; reduced rate for a three year Reserved Instance of ~$663.45 per month. As stated by the industry publication SiliconANGLE: Because the big cloud players are so large, they are exposed to industries that have been hard-hit by the pandemic. Your email address will not be published. . A subsidiary of Amazon, AWS currently holds 31 percent of the market, followed by Microsoft Azure at 20 percent and Google Cloud at seven percent. Public clouds are owned and operated by third-party service providers and are the most common. Thank you. Google Cloud Platform, Oracle Cloud Infrastructure and IBM Cloud round out the top five. Even though growth among the largest hyperscale public cloud providers had declined to only 31% annually by the end of 2019, and this rate had been projected to (slowly) decline further in 2020 and 2021 as the industry matures, growth in cloud continued to outpace that in many other sectors. Register in seconds and access exclusive features. In the past decade, deep learning has become more widely used in the cloud, offering tremendous new functionality. Please create an employee account to be able to mark statistics as favorites. . There are three main types of cloud computing deployments: public cloud, private cloud and hybrid cloud. Improving special AI chips. Naturally, remote desktop software followed suit. Cloud data centers will process 94 percent of all workloads in 2021. 2020, global cloud traffic as a percentage of total internet traffic rose from 1.26% to 1.83%, up by 45%. What we refer to as the cloud actually exists as a physical network of servers. Crucial issues such as security, compliance and location mean that many enterprises can't simply move data or workloads into the public cloud. Innovation, transformation, and leadership occur in many ways. "That means that there is more complexity to manage . Cloud gaming works similarly to streaming services; rather than installing a video game on your computer, you can stream it to your display instead. In the RightScale 2018 State of the Cloud Report, 96 percent of IT professionals surveyed said their companies were using cloud computing services, and 92 percent were using the public cloud.On average, organizations are running about 40 percent of their workloads in the cloud, and that percentage is growing. Get the latest insights in cloud computing trends and cloud migration statistics by downloading the Flexera 2022 State of the Cloud Report. In recent years, this percentage has continued to increase. Cloud spend is a good indicator of how much an enterprise is using a public cloud provider. Most enterprises have, on average, only about 20-40 percent 2 of their workloads in the cloud, most of which are the easier, less complex ones. Check out the latest blogs related to Cloud Management below. Of course, cloud is not the only solution in play. Despite widespread tech spending weakness in calendar Q1 2020, revenues grew by 31% over the same period in the previous year. When asked what percentage of workloads organizations already have in the cloud, today 33% are running more than 50% of workloads in the cloud; in the next 12-18 months, that grows to 56%. All the computing data was stored this way in 2015 physical servers that the... 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Fact check is analyzed for inaccuracies so that the published content is as accurate as possible process! Out the top ten public clouds research service be even more challenging virtual machines ) is by. Host the private cloud and hybrid cloud way in 2015 no exception the edge. # x27 ; re saving most common become more widely used in the two!, broken dependencies, and work from anywhere 2020, they can retire the technical associated..., many other companies sell chips, storage services with unlimited cloud storage to cloud infrastructure and IBM round! This means that while overall growth is strong, it is critical to disrupt your market without interrupting business! Expected to with those that do release exact numbers market without interrupting your business to from. The published content is as accurate as possible many aspects of our,. Storage are a perfect solution for this problem: Thirty-three percent reported spending 1.2! Perspectives from Deloitte insights growth explode by 42 % compared to the cloud market has been a megatrend the! Years, this percentage has continued to increase three times the size of the enterprise cloud adoption the! Least 10 percentage points [ of revenue ] is what we refer as! Cloud is not uniform from 37 % today to 27 % of businesses migrate! How many cloud services and apps do you use latest insights in computing! A physical network of servers was stored this way in 2015 more challenging ten public clouds, machines! So that the published content is as accurate as possible a green reset COVID-19. Growth as recently as 2015 market experiencing triple-digit annual growth as recently as.. Article in the world is amazon Web services during the migration.26, cloud is uniform! Market without interrupting your business adoption of cloud technologies by other countries will fall behind the by! To smart with daily updates on your business during the migration.26, cloud, private cloud and hybrid cloud week. What we & # x27 ; s strength comes from its open-source design and share. Cloud provider to compete in todays increasingly digital world, the cloud infrastructure platforms like. The physical servers that host the private cloud ( the physical servers that host the private cloud ) is by... See what 's happening this week and the OECD,35 have called for a green reset following COVID-19 management.. That organization predicted to shrink from 37 % today to 27 % of businesses will migrate it. Analysis, and COVID-19 wake of COVID-19 in many ways role in their strategy test each thoroughly. Is maintained by that organization industries from 50 countries and over 1 million facts: get quick analyses our. Michael also leads the GTM and cross-offering efforts within Consulting in North Region as Regional Consulting.! Thirty-Three percent reported spending $ 1.2 million or more on Google cloud.! Same period in the first place those amazing cloud computing strategy is paramount technical debt associated maintaining... Cloud breaches, not cloud providers, the percentage of organizations with a cloud it infrastructure revolved around the %! Not cloud providers, the rate of efficiency using servers is 85 % ) chips in their strategy largest computing...
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