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Public cloud spending will continue to skyrocket in 2021

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(Image credit: Image Credit: Rawpixel / Shutterstock)

Public cloud has been handed a boost by the Covid-19 pandemic, with market analysts Gartner expecting the industry to register significant growth throughout the year.

In its latest report, Gartner says worldwide end-user spending on such services is expected to grow by almost a quarter year-on-year (23.1 percent). That should put it at approximately $332.3 billion, up from $270 billion in 2020.

Sid Nag, Research VP at Gartner, believes the pandemic has played a key role in helping CIOs overcome any reluctance they may have had over moving mission-critical workloads to the cloud.

“Emerging technologies such as containerization, virtualization and edge computing are becoming more mainstream and driving additional cloud spending. Simply put, the pandemic served as a multiplier for CIOs’ interest in the cloud.” 

Software-as-a-Service (SaaS) continues to be the star of the show, holding most of the market share. Gartner expects SaaS offerings to generate $122.6 billion this year. However, IaaS and DaaS segments are expected to grow the fastest (by 38.5 and 67.7 percent, respectively).

The analysts see cloud as “the glue between many other technologies that CIOs want to use more of. It will be a disruptive market, to say the least,” Gartner concluded.