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Enterprise Cloud Spending: IDC: Cloud Spending is Eroding On-Premise Spending
IDC reports cloud technology has totally captured the focus for most enterprises. Spending on the cloud is rising dramatically. IDC forecasts that one-third of enterpriseIT spending will be on the cloud, which includes both public and private cloud. Cloud spending is expected to grow at a rate of 15 percent for the next five years. Non-cloud spending is expected to drop a couple of percentage points in 2015 and will increasingly erode.
In 2015, the public cloud grew at nearly 30 percent. Private clouds grew 15 percent this year.
Kuba Stolarski, research director at IDC, said that “Cloud IT deployments continue to drive overall IT infrastructure growth, as customers modernise their workload portfolios onto a broad array of hybrid deployment scenarios. As cloud service providers continue to expand their datacentre footprints to meet growing cloud services demand, customers increasingly rely on a variety of as-a-service offerings and traditional hosting to help meet the performance, manageability, time to deployment, and total cost of ownership requirements of their organisations.”
Natalya Yezhkova, research director of storage systems at IDC, said that “numerous IDC surveys indicate growing interest among enterprise customers to cloud deployments across multiple IT domains. End-users often cite the agility of IT infrastructure and economic reasons as drivers for cloud adoption, but we also expect that the proliferation of next-generation applications born and run in the cloud will fuel its further growth.”
