public IT cloud services revenue will grow at a compound annual
growth rate (CAGR) of 18.5% --from $18.5 billion in 2011 to
$43.2 billion in 2016, according to a new report from IDC. LINK:
Shared among "unrelated enterprises and consumers" and "open to a
largely unrestricted universe of potential users," IDC, in its "U.S. Public
IT Cloud Service by Industry Sector" report, segments public
cloud IT services into five functional categories and six vertical
Discrete manufacturing, professional services, and process
manufacturing are the three largest verticals in the public IT cloud services
market, accounting for more than 50% of spending in 2011, IDC
found. "This is not surprising as these industries are typically
less risk averse and compliance focused," commented Eileen Smith,
program manager in IDC's Global Technology and Industry Research
The fastest growing verticals for public IT cloud spending were
communications and media, education, and construction. IDC reports
that the media portion of the communications and media vertical
will require 'storage on demand' thanks to "content-heavy customer
Also among the findings in IDC's new report
- Services and distribution, the largest sector, accounted for
30.3% of total revenue in 2011. Professional services alone
accounted for nearly 40% of the entire category in 2011.
- Manufacturing and resources, the second-largest vertical
sector, accounted for 24.0% of total public IT cloud services in
2011. Discrete manufacturing alone accounted for 46.7% of the
entire category in 2011.
- Infrastructure, the fastest-growing sector with a 19.6%
five-year CAGR, accounted for 12.3% of spending in 2011 and will
account for 12.9% of spending by 2016.
In their report, IDC analysts divide the public IT cloud
services market into five functional segments: applications as a
service; software as a service (SaaS); platform as a service
(PaaS); server as a service; and basic storage as a service.
Storage as a service may present one of the more immediate cloud
opportunities for CHR clients. Both consumer and business segments
have significant digital storage needs, providing a cross segment
entry point for cloud services. Contact us to determine your
specific market opportunity.