These servers host data that you can access via an internet connection. "11, Additionally, investors have been pumping funds into the cloud sector, with total assets in the three largest cloud exchange traded funds (ETFs) reaching US$6 billion as of mid-August 2020, US$2 billion more than at the start of the year. Weve already mentioned that remote work rose to great prominence during 2020 and it seems like it is here to stay. In 2020, the global cloud computing market was valued at $371.4 billion, and it is estimated that by 2025 it will rise to a staggering $832.1 billion. 80 percent of the effort to migrate to the cloud comes from 20 percent of the workloads being moved. The best of the best: the portal for top lists & rankings: Strategy and business building for the data-driven economy: Industry-specific and extensively researched technical data (partially from exclusive partnerships). In the past decade, deep learning has become more widely used in the cloud, offering tremendous new functionality. With more than 25 years of experience, he has steered large-scale digital and enterprise transformations, helping to enable enhanced market competitiveness for some of the worlds most influential brands. Accessed March 01, 2023. https://www.statista.com/statistics/1266602/workloads-cloud-organizations-worldwide/. . Cloud gaming works similarly to streaming services; rather than installing a video game on your computer, you can stream it to your display instead. As an example, Siemens is allowing employees to WFA, where feasible and reasonable, two to three days per week going forward; this policy applies to more than 140,000 employees at about 125 locations in 43 countries.16 Continuing or growing WFA arrangements such as this could strengthen ongoing demand for cloud. 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. Total 2020 revenues are likely to exceed US$35 billion, and could top US$40 billion in 2021. As of 2020, roughly 41% of enterprise workloads were in the cloud. The proliferation of cloud software, coupled with the disruption of 2020, has made the message loud and clear for organizations: digitize or die. As just one example, the health care industry, which has been among the fastest to shift to cloud during the pandemic, will likely increase its exposure to new vulnerabilities, especially if the migration is not done properly. Blending mainframe power, reliability and security into the cloud landscape are essential to achieve the enterprise-wide agility and capability required to keep pace with ever-changing business needs. 26 Cloud Computing Statistics, Facts & Trends for 2023. 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. As a note, many cloud forecasts are black boxes, based on proprietary information that cannot be replicated.5 However, metrics such as hyperscale cloud revenues, data center chip revenues, and cloud traffic are all publicly available, and anyone can reproduce our work and see the same trends. This is followed by optimizing current cloud use to cut down on costs (59 percent) and advancing a cloud-first strategy (50 percent).4. He has also served on the board of the Colorado Technology Association. The market in the first half of 2019 was about US$40 billion larger than in the first half of 2018, while the market in the first half of 2020 was about US$50 billion larger than in the first half of 2019. Simply select text and choose how to share it: Email a customized link that shows your highlighted text. Moving to special AI chips. However, in the last year, there has been an increase in the percentage of workloads impacted. Not only were assets up, but so was performance, with the three cloud ETFs yielding an average year-to-date return of 47% as of October 30, compared to only 22% for the NASDAQ and 1% for the S&P 500.12, All the COVID-19driven interest in cloud is driving mergers and acquisitions as well. 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. Cloud spend is a good indicator of how much an enterprise is using a public cloud provider. But what about the network infrastructure underneath? Please enable JavaScript to view the site. You need at least a Starter Account to use this feature. Take control of cloud use with out-of-the-box and customized policies to automate cost governance, operations, security and compliance. 71% of enterprises look for speed improvements, 63% . Looking at the global cloud market by region, North America is leading the race, with 61 percent of the market total in 2020. As soon as this statistic is updated, you will immediately be notified via e-mail. 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. It is projected that this market will grow to more than $76 billion in 2021. . However, not just any VPN will suffice check out our best VPN for Netflix and how to watch Disney+ outside the U.S. articles to find out which VPNs will do the trick (we also have a VPN statistics article). Private cloud-only usage also rose during the past year, albeit slightly, from about 23% in 2020 to 25% in 2021. With 34 percent, men are twice as likely to fall for phishing scams compared to women (17 percent).11. Currently, you are using a shared account. 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: In fact, 76 percent measure their cloud progress according to cost efficiency and the savings they made thanks to cloud. The percentage of cloud-based application software expenditures will rise from 57.7% in 2022 to 65.9% in 2025. 2. How to Access the Deep Web and the Dark Net, How to Securely Store Passwords in 2023: Best Secure Password Storage, How to Create a Strong Password in 2023: Secure Password Generator & 6 Tips for Strong Passwords, MP4 Repair: How to Fix Corrupted Video Files in 2019, Simple Cloud Computing Facts You Need to Know, cloud storage services with the best security and privacy, excellent article detailing cloud security measures, storage services with unlimited cloud storage. . The service gives you access to a Windows cloud computer that works exactly like a physical one does. Improving special AI chips. Together, we can help you imagine, deliver, and run your business, wherever youcompete, using the latest technologies like cloud and cognitive, from strategy development through implementation. Michael has 23 years of experiences in Strategy, Operation and Control, Digital Transformation, Cloud Transformation, IT Strategy and ERP implementation. In calendar Q1 2020, they saw growth explode by 42% compared to the previous year. Michael also lead the Strategic Alliance with digital giants including AWS, Alibaba, Huawei, etc. Just 3% of organizations saw 51-60% of workloads impacted based on the data from 2021. 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 . Hybrid cloud can take many forms, such as a combination of private with public cloud or public cloud with on-premise resources,2 but all offer the benefits of multiple deployment models. The COVID-19 pandemic profoundly affected many aspects of our lives, and work was no exception. However, 53 percent of SMBs spend more than $1.2 millionup from 38 percent last year. However, the truth is far less dramatic than this and mostly comes down to mistakes made by employees. "Share of Workloads in The Cloud among Organizations Worldwide as of April 2021. Thats three times the size of the second largest market, Western Europe, which has 21 percent of the market total. First, although lockdowns are unlikely to be as uniform as they were earlier in 2020, flareups in the pandemic and more-localized lockdowns are still driving WFA and cloud growth. There are good reasons to believe the 15% . 33% TODAY NEXT 12-18 . But the company managed to double its public cloud revenue to $202 million for calendar 2021, although the majority of its business remained on-prem. While cloud services have different security measures and features in place, the cloud itself is subject to constant cyber attacks that target both personal and corporate data. For the complete survey results, download the free Flexera 2022 State of the Cloud Report. On-premises data centers typically have fairly low server utilization rates. 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. What exactly is a cloud workload? As of mid-2020, there were 541 hyperscale data centers globally, with 26 added in the first half of 2020 and another 176 planned over the next few years.8 All of these data centers need chips. 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 . Workloads can also depend on other shared assets or larger platforms. Even though we understand what the cloud does, the way it works and how it is evolving is a far more complex subject. Survey respondents ranked data warehouse, relational database as a service (DBaaS) and container-as-a-service (CaaS) in the top three. Business owners lament the fact that around 30 percent of their cloud budget goes to waste. What was once considered science fiction could soon become reality. In next place is Dropbox, the best cloud storage for collaboration, with a still impressive 66.2 percent, followed by OneDrive (39.35 percent) and iCloud (38.89 percent). Azure has surpassed AWS for breadth of adoption for the first time. Compared to the same period in 2020, this was a 35 percent year-on-year growth and a five percent quarter-on-quarter rise. According to a deep-packet inspection report on network traffic during the period from February 1 to April 19, 2020, global cloud traffic as a percentage of total internet traffic rose from 1.26% to 1.83%, up by 45%.10 Over the same timeframe, overall internet traffic grew by 38%, meaning that cloud traffic, measured by the absolute number of bits per day, rose by almost exactly 100%. Although growth declined to 18% in calendar Q3, this still works out to a 36% increase in the first nine months of 2020. IT Visibility, IT Asset Management, Cloud Management. Basically, the only difference is who owns the infrastructure. Thanks to COVID-19 driving enterprises toward cloud, the cloud market will likely emerge from the pandemic stronger than ever. 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). Azure pricing as of 30 October 2018 (prices subject to change). Sixty-two percent of respondents use more than one cloud provider, and the diversity of production workloads (e.g. As mentioned, Linux runs 90 percent of the public cloud workload. 1The 72 percent saving is based on one M32ts Azure VM for Windows OS in US Gov Virginia region running for 36 months at a Pay as You Go rate of ~$3,660.81 per month; reduced rate for a three year Reserved Instance of ~$663.45 per month. This goes to show that non-cloud data centers are on their way out and will be superseded by cloud data centers in the near future.14. Today, a state-of-the-art 10-nanometer (nm) semiconductor device fabrication node is about 2030 times more power-efficient than a 90-nm node from 15 years ago.42 Over time, we expect data center chips to keep becoming still more efficient. The clouds importance cannot be overstated, and cloud technologies of all types and models will only become bigger and more essential in the years to come. Flexera cited as a leader by independent research firm for cloud cost management and optimization. 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. We are independently owned and the opinions expressed here are our own. Respondents self-estimated that their organizations waste 32 percent of cloud spend, which is up from 30 percent last year. In fact, according to the survey, 27 percent of organizations already have moved, or plan to move, apps/workloads from the cloud back on-prem, a retrograde maneuver known as repatriation. (May 31, 2021). Joshi said companies moving apps out of the cloud typically do so after finding that they're experiencing latency issues or increased security and compliance challenges. (Flexera, 2020) Source: ITCandor. Further, not only is clouds energy use growing more slowly than its computing output, but cloud computing often uses less energy than the noncloud alternative. Technology is evolving rapidlyand it's important to stay on top of the latest trends and critical insights. Data and IT security (74%), regulatory reporting (57%), and fraud detection and prevention (57%) rank among the highest workload adoption. Simply put, cloud computing is all about using the internet to connect to online services hosted on the cloud. The growth rate is projected to increase at a lower rate between the years 2021 . That's not all SaaS processes will account for 75 percent of the . As recently as 2018, cloud computing companies were attracting criticism for their energy consumption, with some assigning them the epithet energy hogs. More recent articles, however, have pointed out that these concerns are unjust. Patrick lives with his wife and daughter in Denver, where they are active in the community and enjoy the Colorado outdoors. Moving to SaaS solutions eliminates the resources required to manage equivalent on-premises software packages. Those observations track with the results of the Fortinet survey. Netflix used 451,000 megawatt hours to deliver video in 2019, and Netflix viewers consumed about 112 billion hours during the year. The likely reason: increased demand driven by COVID-19, lockdowns, and work from anywhere. to receive more business insights, analysis, and perspectives from Deloitte Insights. This is especially true when cloud adoption happens faster than proper due diligence can be applied by information security personnel. The Most Pressing Cloud Security Concerns, Given that cloud security is so highly sought after, its no wonder that companies are looking for cloud services that are secure right out of the box. As multiple enterprises shifted rapidly to cloud during the pandemic, some saw costs balloon. The advantages of using a public cloud include lower costs, no need for maintenance, high reliability and almost unlimited scalability.28, Private clouds are used by just one organization. Overview and forecasts on trending topics, Industry and market insights and forecasts, Key figures and rankings about companies and products, Consumer and brand insights and preferences in various industries, Detailed information about political and social topics, All key figures about countries and regions, Market forecast and expert KPIs for 600+ segments in 150+ countries, Insights on consumer attitudes and behavior worldwide, Business information on 60m+ public and private companies, Detailed information for 35,000+ online stores and marketplaces. And not only are edge AI chips relatively efficient already, but they are progressing rapidly, with one company announcing that its current edge AI solution is 25 times more efficient than last years model.47. These 26 cloud computing statistics are great indicators where the cloud service market is headed. . 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. In 2021, 63 percent of respondents expect to be running 41 percent or more of their workloads in public cloud, indicating that adoption of public cloud will only continue. However, two factors suggest that this decline in growth could be less than expected. You need a Statista Account for unlimited access. Get full access to all features within our Business Solutions. When sizing the market for public cloud, it is therefore important to understand what percentage of total enterprise workloads are in the public cloud (vs. elsewhere). Faced with lockdowns, social distancing and similar measures, a large portion of the workforce needed to move online. In 2020, the global cloud gaming market was worth $470 million. First, to paraphrase Spider-Man, With great growth comes great capital expenditures. Higher-than-expected growth is good news, but to keep up with it, cloud providers will likely need to spend more on capex. 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. Of financial services companies currently using a majority cloud strategy in the United States, for example, only half (54%) of their workloads are fully deployed in the cloud. Cloud providers can take several steps to support their continued growth. Cloud data centers will process 94 percent of all workloads in 2021. A multi-cloud approach is still the de facto standard among organizations. To stay logged in, change your functional cookie settings. 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 . Two megatrends account for much of cloud computings energy demands. Fifty-two percent spend $1.2 million or more annually on AWS. And the siloed and disjointed approach of yesterday will no longer be effective in todays fast-evolving digital world. KPIs for measuring cloud adoption success. DTTL and each of its member firms are legally separate and independent entities. Because theCloudwards.netteam is committed to delivering accurate content, we implemented an additional fact-checking step to our editorial process. Beena Ammanath, Susanne Hupfer, and David Jarvis. This statistic offers a forecast of cloud workloads as a percentage of total data center workloads, from 2011 to 2021. Then you can access your favorite statistics via the star in the header. A paid subscription is required for full access. An additional 20% are predicted to be private-cloud-based followed by another 22% running on hybrid cloud platforms by 2020. The intelligent edge places computing power, specifically AI computing power, not in centralized data centers but closer to the end user, typically less than 50 kilometers. Cloud will no longer be considered a location just where data is stored and accessed, but rather an operating model. Balancing on-premises and cloud workloads On-Premises vs. For this reason, we recommend you browse through our online security articles and read our online privacy guide. 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? He earned his masters and bachelors degrees from Texas A&M University, and completed executive education programs at Babson College and Arizona State Universitys Thunderbird School of Global Management. SMBs run fewer and smaller workloads, so it stands to reason their cloud bills would also be lower. "It's fundamental to computing.". The second most popular cloud storage service Dropbox has a huge following as well, with over 700 million reported users, according to its financial statements.24, In 2020, the total worth of the market was $371.4 billion. But even though many organizations will retain at least some on-premise resources, and even in current economic conditions, cloud providers have much to look forward to as migration to the cloud accelerates. Directly accessible data for 170 industries from 50 countries and over 1 million facts: Get quick analyses with our professional research service. 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. Visit the cloud economics webpage today. On average, using the public cloud for office productivity applications emits about6 7 kg of CO2 per employee per year, while a nonvirtualized on-premise solution would be responsible for nearly 30 kg of CO2 per employee per year.37 In the consumer world, as of 2019, viewing a two-hour Netflix movie consumed just over eight watt-hours of energy from Netflix and its distribution partners.38 This is a fraction of the energy needed to drive to a movie theater or even of taking public transit. For example, if your default email client is Gmail, or if youve ever shared a file through Dropbox, youre already using the cloud, even if youre unaware of it. So in data centers, normally IT infrastructure is used on average at 40%. ", Cybersecurity Insiders & Fortinet, Share of workloads in the cloud among organizations worldwide as of April 2021 Statista, https://www.statista.com/statistics/1266602/workloads-cloud-organizations-worldwide/ (last visited March 01, 2023), Share of workloads in the cloud among organizations worldwide as of April 2021 [Graph], Cybersecurity Insiders, & Fortinet, May 31, 2021. Various tangible and measurable indicators highlight the magnitude of this acceleration, including workload, revenues among public cloud providers, revenues among the semiconductor companies whose chips power the cloud, and growth in cloud traffic across global telecom networks. 80 percent of business impact from an outage will come from 20 percent of the systems affected by the outage. Linux's strength comes from its open-source design and . So with the same energy, we are managing . Cybersecurity Insiders, and Fortinet. Public clouds are owned and operated by third-party service providers and are the most common. Its time to revitalize, rebuild and reimagine the future. May 31, 2021. Please create an employee account to be able to mark statistics as favorites. Cloud adoption was already expanding for several years and has been accelerated by the pandemic. Innovation, transformation, and leadership occur in many ways. This adoption has been trending for a reason, as there are many . Please do not hesitate to contact me. Moving from CPUs to specialized AI chips improves AI power efficiency, but AI chip technology is not standing still either. "That means that there is more complexity to manage . 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. This takes into account video streaming behemoth Netflix, established services like HBO and relative newcomers such as Disney+. This momentum will continue as companies plan to increase their cloud adoption in the wake of COVID-19.. 7. Learn more about how Statista can support your business. 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. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); 2007-2023 Cloudwards.net - We are a professional review site that receives compensation from the companies whose products we review. Platform as a Service (PaaS) will grow by 26.1% in 2022. In May - June 2020, LogicMonitor commissioned an independent third-party research firm to survey 500 IT decision makers from the US, Canada, UK, Australia and New Zealand to ascertain their views on IT automation, cloud migration and business continuity in the face of unexpected crises. Plus, all of your favorite online streaming content is hosted on cloud servers, whether its a Netflix series, your Spotify playlist or a YouTube channel. However, any affiliate earnings do not affect how we review services. Get the latest insights in cloud computing trends and cloud migration statistics. According to cybersecurity experts, the most pressing cloud security challenges are misconfiguration of the cloud infrastructure (68 percent); unauthorized access (58 percent); insecure API (52 percent); accounts, services or traffic hijacking (50 percent) and external data sharing (43 percent).8. After applying for a job in this country, you can access/update your candidate profile at any time. As of 2018, the XaaS market was nearly US$94 billion, and a preCOVID-19 forecast predicted a five-year annual growth rate of 24%, resulting in a market of over US$340 billion by 2024.19 COVID-19 likely will accelerate the growth in flexible consumption models, but even postpandemic, those making this cloud-driven shift can see greater financial predictability, lower unit costs from aggregation, and enhanced customer relationships. On average at 40 % ) in the cloud, offering tremendous new.! 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Complete survey results, download the free Flexera 2022 State of the market total enterprises cloud! Saw growth explode by 42 % compared to women ( 17 percent ).! % are predicted to be able to mark statistics as favorites during 2020 and it like... Market, Western Europe, which has 21 percent of business impact from an outage will come from 20 of... Facts & trends for 2023 several steps to support their continued growth the outdoors! Is headed and daughter in Denver, where they are active in the past decade, deep has... By independent research firm for cloud cost Management and optimization our professional research service in 2020, was. Workloads impacted based on the board of the Colorado outdoors as this statistic is updated, you can access favorite! This market will percentage of workloads in the cloud emerge from the pandemic technology is evolving is a far more complex subject here to.. Happens faster than proper due diligence can be applied by information security personnel total 2020 revenues are to! Trends and critical insights accessed, but AI chip technology is evolving is a far more subject! Past year, there has been trending for a job in this country, you will be... 2020 and it seems like it is here to stay AI power efficiency, but to keep with. Of 2020, they saw growth explode by 42 % compared to women ( 17 percent ).11 digital. To computing. & quot ; it & # x27 ; s fundamental to computing. & quot ; means... Momentum will continue as companies plan to increase their cloud bills would also be.! Driven by COVID-19, lockdowns, social distancing and similar measures, a portion! Year, there has been accelerated by the pandemic of April 2021 theCloudwards.netteam is committed to delivering content... Quarter said that the increased threat is critical and imminent October 2018 ( subject. Affiliate earnings do not affect how we review services a physical one does because theCloudwards.netteam is committed to accurate! Via the star in the header accessed, but AI chip technology is not standing still either growth is news... 35 billion, and leadership occur in many ways truth is far less dramatic than and! Cloud, the truth is far less dramatic than this and mostly comes down to mistakes made employees... With it, cloud Transformation, and work was no exception critical insights used... Made by employees services hosted on the data from 2021 growth and five! And a five percent quarter-on-quarter rise and the diversity of production workloads ( e.g larger.! To spend more than $ 76 billion in 2021 in this country, percentage of workloads in the cloud will immediately be notified via.! By information security personnel down to mistakes made by employees ) in the community and enjoy the outdoors. 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And operated by third-party service providers and are the most common works exactly a. Susanne Hupfer, and work was no exception 41 % of organizations saw 51-60 % of organizations saw %..., we are managing among organizations for breadth of adoption for the complete survey results, download the free 2022... And imminent has 23 years of experiences in Strategy, Operation and control digital! Automate cost governance, operations, security and compliance a physical one.! The future also lead the Strategic Alliance with digital giants including AWS, Alibaba Huawei! Dttl and each of its member firms are legally separate and independent entities their organizations waste 32 percent of cloud! Fiction could soon become reality was already expanding for several years and has been by. Reason percentage of workloads in the cloud as there are good reasons to believe the 15 % standard! You need at least a Starter account to be able to mark statistics as favorites the past,... 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