IT analyst Gartner predicts that spending on public cloud services will hit $497.7 billion this year – a 20.4% increase over 2021.

Based on the current trends, it is likely that end-users will continue to increase spending on cloud services, with a predicted $600 billion set to be spent during 2023.

It begs the question of just what types of services are proving to be so valuable to end-users? According to Gartner, infrastructure-as-a-service (IaaS) is set to enjoy substantial adoption and growth, with spending set to hit $119bn this year.

Desktop-as-a-service is also set to experience year-on-year growth, seeing an increase of 26.6%, closely followed by platform as a service at 26.1%.

Software-as-a-service (SaaS), however, still dominates the market and sees the most substantial growth, with public spending set to hit $176.6 billion this year.

In a statement, Gartner said: “The new reality of hybrid work is prompting organisations to move away from powering their workforce with traditional climate computing solutions, such as desktop and other physical in-office tools and towards DaaS, which is driving spending to reach $2.6bn in 2022.

“Demand for cloud-native capabilities by end-users accounts for PaaS growing to $109.6bn in spending.”

The latest data forecast also took into account new revenue streams being afforded to cloud technologies as a result of the emergence of new categories of the tech.

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Sid Nag, research vice-president at Gartner, commented: “Driven by maturation of core cloud services, the focus of differentiation is gradually shifting to capabilities that can disrupt digital businesses and operations in organisations directly. Public cloud services have become so integral that providers are now forced to address social and political challenges, such as sustainability and data sovereignty.

“IT leaders who view the cloud as an enabler rather than an end state will be most successful in their digital transformational journeys. The organisations combining cloud with other adjacent, emerging technologies will fare even better.”

Cloud First Summit 2022 | Join the Conversation

​The 2nd annual Cloud First Summit will take place live and in-person on Thursday 16th June 2022 at Dynamic Earth in Edinburgh.

The Summit will contextualise the transition to Cloud-based services, looking at key trends, advancements, and use-cases, and discussing how to optimise the business impact of Cloud technology.

For more information, visit: www.cloudfirstsummit.com