Upcoming market trends in Cloud Technology
The term “Cloud Technology” or “Cloud Computing” is used in general to describe datacenters available to many users on the Internet. Delivering the on-demand computing system resources from data storage (cloud storage) to applications, software, computing power, analytics, databases, intelligence, networking, and computing power (processing power) with no direct active management of users. It is done specifically on the Internet (cloud) based on pay-as-you-go.
How is Cloud Computing dominating the market? -Upcoming Market Trends
The global market of cloud computing is anticipated with $371.4 billion in 2020 - $832.1 billion by the year 2025 at a CAGR (Compound Annual Growth Rate) of 17.5% during the projected period of 2020-2025.
The key trends that will shape the cloud technology enterprise include the emerging technologies as instanced by AI (Artificial Intelligence), IoT (Internet-of-Things), and blockchain.
Persistent Rising of Hybrid Cloud
In the world of multi-cloud, hybrid cloud will be carried on to be an option due to increased flexibility provided by many cloud providers to the enterprises. According to the research report, the global hybrid cloud market is estimated at $45.70 billion in 2019. It is anticipated to reach $128.01 billion by the end of 2025, at a CAGR of 18.73% for the projected period of 2020-2025. The growth of increasingly industrialized and cloud services and the decrement of traditional DCO (Data Center Outsourcing) is an indication of a significant move towards hybrid infrastructure services.
Utilization of a hybrid cloud lets the enterprises to expand computing resources and eliminate massive capital investment.
Enterprises using cloud services are required to pay only for the resources they are using temporarily, instead of long-time purchase, maintenance, oradditional program services. Thus, helping the companies to minimize the cost that are not generating revenue.
Hyperscale Data Center
The growth of the global data centre market is estimated at $25.08 billion in 2017. It is anticipated to reach $80.65 billion by 2022 at a CAGR of 26.32%. The segment of storage is anticipated to witness the highest CAGR in the Asia-Pacific region. The rising demand for scale-up datacentre architecture is the key factor to scale the need for components of critical data centre. The solutions for Hyperscale data center which includes storage, networking, software components, and server can addto the existing data center infrastructure as a sole node, enabling a large scalable architecture. Hence, driving the sector growth, as the enterprises incorporate them for catering to rising traffic of data.
The rising demand for high performance of the application, rising need for reducing CAPEX and Opex, and rise in data center technology spending are the key drivers for the growth in the Hyperscale data center industry.
The global market of Edge Computing is estimated at a growth of $2,485.36 million in 2018. It is anticipated to reach $8,854.78 million by 2025 at a CAGR of 19.90% for the projected period of 2019-2025. The key factor driving the market demands is that the Edge computing process data at the network edge, supporting applications for real-time processing and analyzing the collected data.
Besides, the commencement of the 5G network, multiple platforms of Internet-of-Things (IoT) and languages are anticipated to offer multiple opportunities to steer up theglobal edge computing market in the forthcoming years. The increased number of smart applications is the key factor in driving the growth of this industry. Though, the high maintenance and local hardware prices can hinder the growth of the sector.
Disaster Recovery asa Service (DRaaS)
The global market of disaster recovery as a service is estimated at $3,332.2 million in 2018. It is expected with growth of $42.9% CAGR and is expected to reach #57,133.1 million by the year 2026 for the projected period of 2019-2026. Besides, remarkable growth in the past, this sector has witnessed additional growth due to Covid-19 pandemic. The key driver for the growth is the cost-effectiveness, and high flexibility offered by DRaaS to the enterprises.
Cloud services are used by the DRaaS, helping the enterprises in working ,which is adapted by most of the organizations during a pandemic for sustained business. DRaaS solution allows enterprises with recovering data in fewer minutes, which is anticipated to be the most significant driving factor for the market growth of this sector. However, data breaching and problems associated with security are likely to hinder the growth during the projected period.
Artificial Intelligence (AI) in the Data Center
Rising utilization of Artificial Intelligence (AI) in the data center is likely to increase in forthcoming years. AI can be specifically utilized for solving issues before occurring in saving energy to detect patterns in a server, or the failures of network hardware. AI has a significant role in automating distinct tasks which are delivered by utilizing the cloud.
Hence, Cloud Technology is faster innovation, flexible resources, and economies of scale. It is the fastest-growing segment of Information Technology (IT).