The worldwide IT spending is projected to total $3.8 trillion in 2021, an increase of 4% from 2020, according to the latest forecast by Gartner. Swipe to know more details.
2. Pre-COVID-19
Scenario: 2019
Cloud Market grew by 26.0% year-on-year in 2019 with revenues
totaling $233.4 billion (including IaaS, PaaS, and SaaS). [IDC]
Spending continued to consolidate in 2019 with the combined
revenue of the top 5 public cloud service providers (Amazon
Web Services, Microsoft, Salesforce.com, Google, and Oracle)
capturing more than one third of the worldwide total and
growing 35% year on year.
Segment 2019 -
Revenue
Market
Share
Year
on Year
Growth
2018 -
Revenue
Market
Share
IaaS $49.0 21.0% 38.4%$35.4 19.1%
$35.9 15.4% $25.8 14.0% 38.8%PaaS
SaaS $148.5 63.6% $123.9 66.9% 19.8%
$233.4Total 100% $185.2 100% 26.0%
Source : IDC Worldwide SemiAnnual Public Cloud Service Tracker
3. Public Cloud 2019
Market share
Amazon Web Services (38%) and Microsoft (18%) captured more
than half the global revenues of the combined IaaS and PaaS
market.
SaaS applications remains the largest segment of public cloud
spending with revenues of more than $122 billion in 2019
AWS
33.6%
Microsoft
18.0%
Google
4.9%
Alibaba Group
4.6%
IBM
4.1%
Rest of
Market
34.9%
Salesforce
7.8%
Microsoft
7.4%
SAP
4.1%
Oracle
3.7%
Google
3.1%
Rest of
Market
73.9%
4. IT Spending
The worldwide IT spending is projected to total $3.8 trillion in
2021, an increase of 4% from 2020, according to the latest
forecast by Gartner, Inc.
IT spending is projected to reach $3.6 trillion in 2020, down
5.4% from 2019.
IT spending in 2019 was $3.8 trillion, a growth of 2.4% as
compared to 2018.
2019
Spending
2019
Growth
2020
Growth
2021
Spending
2021
Growth
2020
Spending
Data
Center
System
Enterprise
Software
IT
Services
Devices
Comm.
Services
Overall
IT
214,911
476,686
711,525
1,040,263
1,372,938
3,816,322
1.0
11.7
-0.3
4.8
-0.6
2.4
208,292
459,297
616,284
992,093
1,332,795
3,608,761
-3.1
-3.6
-13.4
-4.6
-2.9
-5.4
219,086
492,440
640,726
1,032,912
1,369,652
3,754,816
5.2
7.2
4.0
4.1
2.8
4.0
Source : Gartner (OCTOBER 2020)
5. SaaS PaaS IaaS
Revenue (Millions
of U.S. Dollars)
Cloud Application
Infrastructure Services (PaaS)
Cloud Application
Services (SaaS)
Cloud System
Infrastructure Services (IaaS)
2019 2020
45,212
102,064
44,457
43,498
104,990
64,294
Source : Gartner
Services
Software as a service (SaaS) will rule the largest market
segment and it is forecast to grow at $104.7 billion in 2020.
The on-premises license software to subscription based SaaS
models, will increased need for new software collaboration
tools during COVID-19.
2nd largest market segment is cloud system infrastructure
services or IaaS, forecasts to grow at 13.4% to $50.4 billion
in 2020.
The global economic downturn for organizations’ urgency to
move off of legacy infrastructure operating models
7. Segments covered: Technology (SaaS, IaaS, and PaaS), verticals
(Banking financial services and insurance, healthcare and life
sciences, IT and ITeS, retail and consumer goods, telecom,
energy and utilities, government & public sector, and
manufacturing).
Geographies covered: North America, APAC, Europe, MEA, and
Latin America
Forecast period: 2020-2021
2019 2020 2021
North America
Europe
APACMEA
Latin
48%
22%
19%
6%
8%
50%
21%
17%
6%
6%
8%
6%
52%
20%
14%
8. Post COVID-19
Scenario
Global Cloud Market is expected to reach $927.51 billion by
2027. The Growing at a CAGR of 16.4% (2020-2027).
The Covid-19 pandemic will continue to drive a faster conversion
to cloud-based IT services.
The market for cloud services and the wider ecosystem around
it could top $1 trillion by 2024.
Cloud ‘as a service’ models, be they public or dedicated, will see
the strongest growth in revenues during the allotted period, as
well as the most overall revenues.
IaaS 20%
PaaS 22%
Total Market
Cloud Management
and Security Services
SaaS
BPaaS
13%
11.9%
3.5%
10.4%
9. Cloud Application
Infrastructure Services (PaaS)
Cloud Application
Services (SaaS)
Cloud System
Infrastructure Services (IaaS)
2021 2022
$121 Billion $141 Billion
(SaaS, PaaS and IaaS)
Compared to
2019 forecast
$57 Billion $72 billion
$64 Billion $81 Billion
Services
PaaS will rule the largest market segment and it is forecast to
grow at $141 billion in 2022.
Followed by IaaS which is forecast at $81 billion in 2022 as well
as SaaS to be forecast at $72 billion in 2022.
11. 47.4
66.1 66.8
69.2
99.9
109.3
0
20
40
60
80
100
120
2017 2018 2019 2020 2021 2022
This statistic displays spending on cloud IT infrastructure
from 2013 to 2019 and forecasts for 2020 and 2024. In
2020, cloud IT infrastructure spending is expected to reach
69.2 billion U.S. dollars. Public cloud infrastructure
continues to expand and is a large driver of IT spending.
As per the prediction, the (Global public cloud
infrastructure market) will grow 35 percent to $120 billion
in 2021
Alibaba Cloud will take the number three revenue spot
globally, after AWS and Azure.” On-premises DR sites will
fade in 2021, with recovery bound for the cloud.
SPENDINGINBILLIONUSDOLLAR
Source- Forrester