As one example, the next-generation AI GPU Tesla T4 from Nvidia doubled the energy efficiency for inference AI compared to its predecessor, Tesla P4.45, Moving some AI processing to the edge. Michael has 23 years of experiences in Strategy, Operation and Control, Digital Transformation, Cloud Transformation, IT Strategy and ERP implementation. The cloud computing market is projected to grow way bigger in just the next five years. Respondents self-estimated that their organizations waste 32 percent of cloud spend, which is up from 30 percent last year. 3. To compete in todays game, organizations must have the cloud play a role in their strategy. Optimizing usage is a cost-control measure and migrating workloads can save money while driving agility. With a compound annual growth rate (CAGR) of 17.5 percent, its projected that the market will amount to $832.1 billion by 2025.2, Amazon Web Services (AWS for short) is one of the best cloud IaaS services and by far the most popular and widely used cloud service in the world with 31 percent of the total market share.1. Gen Zs and millennials are striving for balance and advocating for change. Netflix used 451,000 megawatt hours to deliver video in 2019, and Netflix viewers consumed about 112 billion hours during the year. Moving to the cloud is a critical business initiative for many organizations. However, a workload should have defined boundaries regarding . These 26 cloud computing statistics are great indicators where the cloud service market is headed. 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. Eighty-two percent of all the smartphones in the world run on Linux. In recent years, this percentage has continued to increase. This takes into account video streaming behemoth Netflix, established services like HBO and relative newcomers such as Disney+. Thats not all SaaS processes will account for 75 percent of the total workload. A new study from the Cloud Security Alliance (CSA) and cloud security company AlgoSec finds that over half of organizations are running 41 percent or more of their workloads in public clouds . In 2017, cloud workloads represented 86 percent of all data . This rapid level of growth and migration . As soon as this statistic is updated, you will immediately be notified via e-mail. But as a post-pandemic world begins to take shape, new trends in cloud usage are beginning to take shape. . Just . Michael also leads the GTM and cross-offering efforts within Consulting in North Region as Regional Consulting Leader. What exactly is a cloud workload? Even a single application could be tied to multiple business processes, affecting vendors, balance sheets, and regulatory compliance, and different stakeholders could have different motives and expectations from the migration. Access to this and all other statistics on 80,000 topics from, Show sources information Only about 10 large public hyperscale cloud providers and chip companies break out their cloud revenues on a quarterly basis in detail. In todays increasingly digital world, the way a business approaches its cloud computing strategy is paramount. As organizations continue to spend more on public cloud, its easy to understand why FinOps is evolving and being adopted as a financial management discipline. . The average annual PUE for large data centers has fallen by 36% over 13 years, from 2.5 in 2007 to 1.59 in 2020 (lower numbers are better). A multi-cloud approach is still the de facto standard among organizations. The hyperscalers still offer remarkably good value for ad-hoc cloud infrastructure needs where the workload is highly variable or high-growth. As a result, we see pockets of spending deceleration even at these companies.14. Moving to SaaS solutions eliminates the resources required to manage equivalent on-premises software packages. As articulated by Healthcare IT News: While cloud computing better optimizes the use of resources in health care, it also creates significant risks. In an April 2020 survey of security professionals, 94% believed that the pandemic increases the level of cyberthreat. As organizations move more workloads to the cloud, they can retire the technical debt associated with maintaining and operating traditional data centers. This market draws on more than just cloud, but cloud is a critical enabler. Furthermore, 56 percent of all public cloud-based workloads are considered IT production workloads, while the remaining 44 percent are classified as non-production workloads (i.e., test . AWS holds the next largest percentage at 32%. By some metrics, growth was more or less flat in 2020; by some other ways of measuring growth, it increased faster than in 2019, even in the face of the steepest economic contraction in modern history. 33% TODAY NEXT 12-18 . Duncan Stewart is the director of research for the technology, media, and telecommunications (TMT) industry for Deloitte Canada. By some metrics, the cloud market grew even faster in 2020 than in 2019, even during the steepest economic contraction in modern history. The likely reason: increased demand driven by COVID-19, lockdowns, and work from anywhere. He has also served on the board of the Colorado Technology Association. In that regard, cloud computing can help, not hinder, progress toward a more sustainable future. Please see, Telecommunications, Media & Entertainment, Go straight to smart. 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. A paid subscription is required for full access. Cybersecurity Insiders, and Fortinet. Thirty-seven percent of enterprises said their annual spend exceeded $12 million and 80 percent reported that cloud spend exceeds $1.2 million per year. The mainframe has been and will continue to be a mission-critical . It is reported that 82% of the workload will reside on the cloud ; Amazon web services have the largest cloud computing market share at 32%. Because of this, 92 percent of organizations already have a multi-cloud strategy.4, Enterprises face many challenges, but three of the most prevalent issues include security (83 percent), managing cloud computing spending (82 percent) and governance (79 percent). The cloud migration forecast: Cloudy with a chance of clouds has been saved, The cloud migration forecast: Cloudy with a chance of clouds has been removed, An Article Titled The cloud migration forecast: Cloudy with a chance of clouds already exists in Saved items. Cloud computing platforms include everything from cloud storage to streaming content. Cloud tools have . 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 . assuming that the current market of $157 billion reflects 15% of workloads in the cloud, with the end state being approximately 75%. 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. Directly accessible data for 170 industries from 50 countries and over 1 million facts: Get quick analyses with our professional research service. Because theCloudwards.netteam is committed to delivering accurate content, we implemented an additional fact-checking step to our editorial process. As just one example, Micron, a supplier of storage for multiple markets, said in Q2 2020 that Our cloud DRAM sales grew significantly quarter over quarter, with strong demand due to the work-from-home and e-learning economy and significant increases in e-commerce activity around the world. Companies that have shifted their offerings to an XaaS model have already experienced considerable success with both consumers and investors, challenging conventional valuations and placing pressure on industry players that are retaining traditional business models such as perpetual licensing and long-term contracts.20. To break this down in financial terms, around $11 billion more was spent than in Q1 2020 and almost $2 billion more than in Q4 2020.16, In 2021, $58.3 billion will be spent on AI, and this will increase to $309.6 billion by 2026. We hope that you have found these cloud computing stats and trends both interesting and fun. The two largest hyperscale providers accounted for 78% of all revenues among the top five hyperscale providers in 2019, and the largest chip company accounted for 82% of total data center semiconductor revenue in the same year.17 At least so far, the effect of COVID-19 has not led to increasing concentration; indeed, the leading hyperscale providers market share declined slightly (bytwo to seven percentage points) during the pandemic-related surge in cloud growth. Amazon Web Services (AWS) had an 80% share of the enterprise cloud adoption in 2022. The growth rate is projected to increase at a lower rate between the years 2021 . 2. KPIs for measuring cloud adoption success. (Source . 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. As of 2021, the very lucrative video streaming market is worth a combined $59.14 billion (read our streaming statistics guide to learn more). Cloud migration isnt just about moving to the cloud; it entails a state of continuous reinvention if cloud is to reduce costs and create new opportunities. In calendar Q2, growth showed a 25% year-over-year increase, which rose slightly to 27% in calendar Q3, resulting in a 28% growth rate over the first nine months of the year. Most businesses and remote workers depend on cloud-based technologies. On top of these concerns, COVID-19 has created an unprecedented wake-up call. The changes that Gartner says are on the horizon will mean major shifts in the way the world does business over the next few years, the results of which Gartner said will be more than 85% of . Although the growth in cloud in the first nine months of 2020 was very high, many forecasts expected it to slow to some extent in subsequent quarters. As a Premium user you get access to the detailed source references and background information about this statistic. Cloud Customers Consume 77% Fewer Servers Let's first look at server utilization and the number of servers required to support a given group of workloads. Depending on where you live, you may not be able to stream all the TV shows and movies you like. It is critical to disrupt your market without interrupting your business during the migration.26, Cloud, security, and COVID-19. The virtual computer can be streamed to any device you choose, which promises to bring a revolution in cloud computing, if everything works as planned. The ability to solve complex issues is critical. Criteria for which workloads move to cloud. Cloud computing has profoundly changed the way we live our lives and conduct business. Just 3% of organizations saw 51-60% of workloads impacted based on the data from 2021. 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. These are often used by government agencies and large organizations. DTTL and each of its member firms are legally separate and independent entities. These servers host data that you can access via an internet connection. Defy status quo, build momentum, stimulate ideas., achieve ambitious goals. But its shifting. If you are an admin, please authenticate by logging in again. Do you believe rapid cloud adoption and cloud infrastructure expansion are a good thing, or do you foresee issues with the market of cloud computing in the near future? 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. By 2022, projections indicate that this figure will rise to $397.5 billion.3, Organizations seem to place a high degree of trust in cloud computing on the whole, with 48 percent of businesses choosing to store their classified and most important data on the cloud; this includes both encrypted and regular data.10. 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. Many times, discussions will assume that a workload is only one item . The second is that AI is making up a higher and higher percentage of cloud computing. If you are looking to make your cloud migration process a lot easier and even automate it to a great extent, we invite you to check out our list of the best cloud-to-cloud management services. The intelligent edge is not a replacement for enterprise and hyperscale cloud data centers, but a way to distribute tasks across the network to increase timeliness, connectivity, and security.24 In the intelligent edge model, much of the data that used to always go to the data center doesnt go there anymore, and hyperscale providers should make sure this data finds its way back to centralized clouds for analysis and AI trainingand ensure that theyre not cut out of access to this data. Technology is evolving rapidlyand it's important to stay on top of the latest trends and critical insights. This is especially true when cloud adoption happens faster than proper due diligence can be applied by information security personnel. Use Ask Statista Research Service, The source phrased the question as follows: "What percentage of your workloads are in the cloud today compared to how it will be in the next 12-18 months? This shift is driven by the growing interest in leveraging containers to speed deployment, scale operations and increase the efficiency of workloads running in the cloud. Cloudwards.net may earn a small commission from some purchases made through our site. Between mid-2012 and 2018, the cloud computing resources used by state-of-the-art AI grew by 300,000 times.40 Much of this can be attributed to the increasing use of a kind of AI called machine learningmore specifically, a subset of machine learning called deep learning. Revenues for 2020 are likely to be over US$125 billion, increasing tomore than US$160 billion in 2021.7 And although percentage growth was down three points in the first nine months of 2020 compared to all of 2019, it is worth noting that in absolute dollar terms, the total hyperscale market (not just the five largest) grew more in 2020 than in 2019. Cloud Computing's Catch-22. For computational environments, a workload is an expression of an ongoing effort of an application AND what is being requested of it. Despite widespread tech spending weakness in calendar Q1 2020, revenues grew by 31% over the same period in the previous year. We are independently owned and the opinions expressed here are our own. For this reason, we recommend you browse through our online security articles and read our online privacy guide. At the time of the study, the percentage of organizations with a cloud IT infrastructure revolved around the 45% mark. Moving to special AI chips. . Cloud spend is a good indicator of how much an enterprise is using a public cloud provider. Weve put together a list of 26 of the most interesting, relevant and revealing cloud computing statistics that demonstrate how big the cloud is and how its predicted to evolve. While an earlier study by Spiceworks Ziff Davis had found that cloud use accounted for 40 percent of workloads, that percentage was expected to increase to 50 percent of workloads by 2023 . According to the report, 52% of those who moved workloads from the cloud back on premises said either . to incorporate the statistic into your presentation at any time. With 34 percent, men are twice as likely to fall for phishing scams compared to women (17 percent).11. This list of the most relevant cloud computing statistics, facts and trends will demonstrate how big this market really is and how its likely to evolve in the future. Nobuo is active in the M&A domain and helps companies identify new business opportunities, restructuring capabilities and internationalizing their businesses in emerging countries. This will create new roles . However, any affiliate earnings do not affect how we review services. Patrick lives with his wife and daughter in Denver, where they are active in the community and enjoy the Colorado outdoors. According to a March 2020 report, more than 90% of global enterprises will rely on hybrid cloud by 2022.3 Another survey from the same month found that 97% of IT managers planned to distribute workloads across two or more clouds in order to maximize resilience, meet regulatory and compliance requirements, and leverage best-of-breed services from different providers.4. Their advantages are better control and privacy, as well as increased flexibility.28. It would have not been surprising to see cloud spending go down a few points in 2020, given the spending reduction in multiple areas driven by the COVID-19 pandemic and the associated global recession. The driving factors behind this increase can be attributed to a greater generation of large data sets, which in turn necessitates more file storage. With a CAGR of 26.2 percent for the 2021 to 2028 period, it will balloon to more than $390 billion by 2028. Plus, Linux also has 62 percent of the embedded market share, and 99 percent of the supercomputer market share. While this unprecedented growth can, in large part, be attributed to the pandemic, this industry was on a healthy upward trajectory long before 2020.26, Global Cloud Storage Market in Billions USD, 2017-2028. Global Technology, Media & Telecom Industry Leader, 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. Unsurprisingly, 75 percent of enterprises point to cloud security issues as a top concern.8 Of those, 33 percent of respondents are extremely concerned, 42 percent are very concerned, while only 25 percent in total were unconcerned to moderately concerned. Cloud is expected to grow from $257.5 billion in 2020 to $304.9 billion in total worldwide revenue in 2021, representing an 18% growth. By comparison, 52 percent also spend $1.2 million or more on Azure, indicating Azure has closed the gap for the first time in the eleven years of this survey. Methodology. The average business runs 38% of workloads in public and 41% in private cloud. 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. Additionally, 82% of the workload will reside on the cloud. The likely reason: COVID-19, lockdowns, and work from anywhere (WFA) have increased demand, and we predict that revenue growth will remain at or above 2019 levels (that is, greater than 30%) for 2021 through 2025 as companies move to cloud to save money, become more agile, and drive innovation. More than 70% of companies have now migrated at least some workloads into the public cloud, according to Gartner research. Even if we disregard these, current cloud computing stats speak volumes about the state of cloud computing and where its headed. Cost governance systems can also help maintain control over expenses. While that could be true, new research from Synergy . Digital transformation continues and IT spend keeps growing. In 2020, the global cloud gaming market was worth $470 million. Public clouds are owned and operated by third-party service providers and are the most common. 80 percent of cloud management efforts will support 20 percent of the service incidents or trouble tickets. In his leadership role, Nobuo Okubo guides strategy across the global network of Deloittes Technology professionals to ensure high-value approaches to client engagements and solutions. Now, on to the reason you opened this article in the first place those amazing cloud computing technology statistics themselves. However, two factors suggest that this decline in growth could be less than expected. This allowed AWS to evolve at a more leisurely pace and to develop more functionalities. Initially, all AI computing took place on general-purpose central processing unit (CPU) chips. Flexera One is a Digital Platform Conductorbut whats that? [2] 70% Migrating more workloads to the cloud 59% Optimizing cloud use to cut costs 50% Advancing a cloud. To use individual functions (e.g., mark statistics as favourites, set Two megatrends account for much of cloud computings energy demands. 57% of businesses will migrate their workloads to the cloud in 2022. Workloads can support more than one process. 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: The number of public cloud users who utilize service beyond basic compute, storage and network services continues to grow. 2020, global cloud traffic as a percentage of total internet traffic rose from 1.26% to 1.83%, up by 45%. 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. 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. 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