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Cloud-related outlay via businesses to triple from 2011 to 2017

EL SEGUNDO, USA: A snowballing move on the part of enterprise businesses to move their information technology services, applications and infrastructure to a cloud-based architecture will cause market revenue in this segment to swell by a factor of three from 2011 to Fiscal 2017, as stated by IHS Technology.

IHS Technology

Global business spending for infrastructure and services related to the cloud will touch a projected $174.2 billion this year, up a hefty 20 percent from $145.2 billion in Fiscal 2013. And in an indication of the market’s potency, spending will endure to revel in the continued strong growth in the course of the next few years as enterprises everywhere race to come up with their own cloud-storage solutions.

If statistics being cleaved in Fiscal 2017 are to be considered, enterprise spending on the cloud will amount to a projected $235.1 billion; triple the $78.2 billion in 2011. “With the cloud touching nearly every consumer and enterprise around the globe, spending for cloud-related storage, servers, applications and content will be dedicated toward building a framework that is rapidly scalable, highly dynamic, available on-demand and requiring minimal management,” believed Mr. Jagdish Rebello, Ph.D., senior director and principal analyst for the cloud and big data at IHS.

Rhetoricising that – “The robust growth will come as an increasing number of large and small enterprises move more of their applications to the cloud, while also looking at data analytics to drive new insights into consumer behavior.”

Spending on cloud services, followed by applications, security and data analytics will account for an ever- growing slice of the total information-technology expenditures undertaken by enterprises, valued today at approximately $2 trillion, Rebello  went on to note. And the most engaged among spenders will be those seeking to ensure their continued relevance to consumers in the future.

These findings can be found in the report titled, “The Cloud: Redefining the Information, Communication and Technology Industry,” courtesy, the Mobile & Wireless Communications service of IHS.

Queries transpiring thus – Why the cloud?

It certainly goes by without saying that – The cloud is becoming a crucial cornerstone in the strategies of those being game as well as raring to offer online storage, computing, analytics and provisioning services.

This is for the reason that vast amounts of media currently being consumed on mobile devices ranging from smartphones, tablets and computers require larger storage solutions, which at the present the cloud can provide. Such developments from their barrio, in turn, will drive multibillion-dollar investments in cloud-based architectures, Rebello alleged.

By this time, small and giant companies alike are pushing to provide consumers and enterprise users with their own public or private cloud storage services. Some reading in the headcount as – Google, Apple, Amazon and Microsoft-are offering public cloud storage to drive adoption of the individual companies’ hardware and content. Others, like Barracuda, Dropbox and Carbonite, are adopting the so-called Freemium model-in which premium storage services are offered in addition to a fixed amount of free storage-in order to contend with the giants.

The fight for dominance is understandably fierce, Rebello noted. The number of global consumer subscriptions to the cloud will jump to 730 million this year, up from 630 million in Fiscal 2013, signifying a potentially vast base of users to which cloud suppliers can market their products and other non-cloud services.

Amazon, as a case in point, offers an inexhaustible range of products, and transforming even a casual user of the online giant’s cloud services could well bring in an endless stream of future revenue as the user becomes a loyal and permanent client.

Forthcoming power brokers yet to be determined

Amongst the many stakeholders involved in offering cloud infrastructure and services, wireless providers are remarkably well-situated to offer online cloud storage in order to boost value to their customers.

By way of the cloud, wireless providers can help lessen churn, a periodic problem as customers defect to other operators. Providers can also use the cloud to seek out demographic information to help them come up with made-to-measure offerings for standing clientele. By using big data and sophisticated data-analytic tools, wireless providers could offer truly differentiated services to subscribers, Rebello pointed out.

Up to the present time, however, wireless operators have trailed behind in regard to cloud offerings, compared to other stakeholders like Google and Amazon. As an upshot, the operators are missing out on cloud-related revenue, which is going instead to rival factions of the mobile value chain.

A new-fangled cloud paradigm will dictate fresh ways to manage data. Issues of security and compliance require to be addressed, and cloud services need to be able to manage content in an organized fashion. What is more? Issues of data loss, unauthorized access and mining for marketing purposes entail adroit handling.

All said and done, cloud services must strike the precise sense of balance between providing expediency to users, while simultaneously valuing their privacy, IHS considers.

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Jawed Akhtar

A Journalist by interest and a Music Enthusiast by passion. Wedded to Mother Nature, Jawed indulges his aesthetics in travelling and reading books of varied genres. Having covered News stories for top Dailies in his formative years, that is, he is game for tryst with Technology at Techmagnifier.

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