Cloud IT Infrastructure Spending to Grow 26% in 2015

Cloud-IT-Infrastructure-Spending-to-Grow-26%-in-2015Cloud IT infrastructure spending (server, storage and Ethernet switch) will grow by 26.4 percent in 2015 and will reach $33.4 billion, accounting for a third of all IT infrastructure spending, up from 28.1 percent in 2014.

Private cloud IT infrastructure spending will grow by 16.8 percent year over year to $11.7 billion, while public cloud IT infrastructure spending will grow by 32.2 percent in 2015 to $21.7 billion. In comparison, spending on non-cloud IT infrastructure will remain flat at $67 billion.

IDC expects that spending on cloud IT infrastructure will grow across all regions and all technologies. In most regions, growth in public cloud IT infrastructure spending will exceed growth in spending on private cloud IT infrastructure as public cloud service providers will continue to invest in expansion of their data centers and service offerings.

For the five-year forecast period, IDC expects that cloud IT infrastructure spending will grow at a compound annual growth rate (CAGR) of 15.6 percent and will reach $54.6 billion by 2019 accounting for 46.5 percent of the total spending on IT infrastructure.

At the same time, spending on non-cloud IT infrastructure will decline at a -1.4 percent CAGR. Spending on public cloud IT infrastructure will grow at a slightly higher rate than spending on private cloud IT infrastructure – at 16.5 percent vs 14 percent CAGR. In 2019, IDC expects cloud service providers will spend $35.3 billion on IT infrastructure for delivering public cloud services, while spending on private cloud IT infrastructure will reach $19.2 billion.

“End users continue to evaluate various approaches to adopting cloud-based IT: some integrate public cloud service into their IT strategies, others choose to build their own private clouds or use third-party private cloud offerings, and some, seeing benefits in both, implement hybrid cloud strategies,” said Natalya Yezhkova, research director, Storage Systems, IDC.

“The breadth and width of cloud offerings only continue to grow, with an increasing universe of business- and consumer-oriented solutions being born in the cloud and/or served better by the cloud. This growing demand from the end user side and expansion of cloud-based offerings from service providers will continue to fuel growth in spending on the underlying IT infrastructure in the foreseeable future,” added Yezhkova.

Leave a Reply

%d bloggers like this: