03 Nov Cloud Services – Why the Boom is Long from Over!
Here we are in the fourth quarter of 2021 and we are still seeing significant increases in cloud services demand. While the initial boom of migrating from client & private servers are well behind us, the migration from private cloud and platform to platform is really just beginning. In the last year and a half, we have seen significant increases in these types of migrations, and for good reason.
Furthermore, many enterprise companies have implemented a hybrid cloud infrastructure, meaning that they have deployed technology solutions on both public and private cloud platforms and integrated the two for seamless operability.
Multi-Cloud deployments are also on the rise with many businesses looking to diversify or leverage the best strengths of one public cloud provider and simultaneously the strengths of another to produce a unique and powerful, and likely cost-effective solution for their business applications.
The main focus of these tertiary migrations is cost savings but right behind it, is the increased need for more sophisticated cyber security solutions that are embedded in many of the public cloud platforms like AWS and Assur. The reality is that with the ever changing world of computing, we get added complexity, more adoption and more downward pressure on pricing as the enterprise constantly looks for financial savings.
Here are a few stats that support these continued migrations, maintenance and evolution:
- 90% of mid and large enterprises will have deployed some form of hybrid cloud infrastructure.
- 93 percent of all organizations are adopting a multi-cloud strategy
- According to Gartner, the worldwide revenue from public cloud will grow by 17% this year to $266.4 billion.
- 60% of organizations will be using an external cloud provider’s managed services offering by 2022
- The Serverless Computing market is expected to grow with a CAGR of over 25% from 2021 to 2026.
As you can see the trends driving cloud adoption are meaningful, and the capacity in the managed services industry supporting these deployments is tight, resulting in additional interest to establish scale which in turn has brought additional investment into the category.
We are seeing a combination fueled by category expansion, industry expansion and geography expansion. The opportunity to combine these businesses and recognise increased enterprise value is especially real, as many of the providers in the space are leveraging the same cloud infrastructures to deliver their solutions to market. Integration is especially easy to map and the opportunities for operational cost savings are significant in this category.
At Revenue Rocket we are representing many Cloud providers in a combination of both buy-side and sell-side business combinations. If you are interested in taking your Cloud business to the next level, please contact us at www.revenuerocket.com/contact-us