The global public IT cloud services have experienced an increase from $233.4 billion in revenue in 2019 to $312 billion, representing 34 per cent in 2020.
This is because Cloud Services have become an integral part of business operations for many large companies.
According to data presented by TradingPlatforms.com, the increase has been upward since 2016 when global spending on public IT cloud services was just under $100 billion.
The data noted that in 2021, that figure has ballooned to a healthy$312.4 billion after experiencing a 34 per cent increase from 2019’s $233.4 billion revenue. In the 4 year period from 2016-2020 revenue from spending on cloud services grew at an impressive compound annual growth rate (CAGR) of 36.31 per cent.
Commenting, Rex Pascual, editor at Trading Platforms, said: “The cloud services industry was already gathering strong momentum prior to the outbreak of the COVID-19 pandemic in 2020.
“Lockdowns across the world resulted in many businesses rapidly shifting to cloud-based services giving the industry its highest YoY growth to date. Expect the industry to sustain this growth as many more businesses see the value in the adaptability of cloud services even in a post-pandemic world.”
Of the three main types of cloud services, Software as a Service (SaaS) still accounts for the largest share of total revenue with a 63 per cent share. In 2020 SaaS revenue amounted to $197.6 billion which is a 33 per cent increase from 2019’s $148.5 billion. From 2016-2020 SaaS revenue grew at a CAGR of 34.1 per cent.
Infrastructure as a Service (IaaS) held the second-largest share of the revenue accounting for 21.5 per cent of total revenue. IaaS experienced the largest growth among the three main types of cloud services with a 37 per cent increase in revenue from $49 billion in 2019 to $67.2 billion in 2020. From 2016-2020 IaaS had a staggering CAGR of almost 40 per cent.
Platform as a Service (PaaS) revenue accounts for just 15 per cent of total revenue and experienced a 32.6 per cent increase from $35.9 billion in 2019 to $47.6 billion in 2020.
PaaS experienced a CAGR of 42.42 per cent from 2016-2020, the highest out of the three main types of cloud services despite experiencing the lowest YoY growth.