Global end-user spending on public cloud services expected to exceed $480 billion next year

Four new trends in cloud computing are continuing to expand the breadth of cloud offerings and capabilities accelerating growth across all segments in the public cloud services market, according to Gartner. The four trends are: Cloud ubiquity, regional cloud ecosystems, sustainability and carbon-intelligent cloud, and cloud infrastructure and platform service (CIPS) providers’ automated programmable infrastructure.
“The economic, organisational and societal impact of the pandemic will continue to serve as a catalyst for digital innovation and adoption of cloud services,” said Henrique Cecci, senior research director at Gartner. “This is especially true for use cases such as collaboration, remote work and new digital services to support a hybrid workforce.”
Cloud ubiquity
Hybrid, multicloud and edge environments are growing and setting the stage for new distributed cloud models. In addition, new wireless communications advances, such as 5G R16 and R17, will push cloud adoption to a new level. Gartner forecasts end-user spending on public cloud services to reach $396 billion in 2021 and grow 21.7% to reach $482 billion in 2022. Additionally, by 2026, Gartner predicts public cloud spending will exceed 45% of all enterprise IT spending, up from below 17% in 2021.
Regional cloud ecosystems
Growing geopolitical regulatory fragmentation, protectionism and industry compliance are driving the creation of new regional and vertical cloud ecosystems and data services. Regions not able to create or sustain their own platform ecosystems will have no choice but to leverage the platforms created in other regions and resort to legislation and regulation to maintain some level of control and sovereignty.
Sustainability and “carbon-intelligent” cloud
Nearly half of the respondents in the 2021 Gartner CEO Survey believe climate change mitigation will have a significant impact on their business. “New sustainability requirements will be mandated over the next few years and the choice of cloud services providers may hinge on the provider’s ‘green’ initiatives,” said Cecci.
CIPS providers’ automated programmable infrastructure
Gartner expects the broad adoption of fully managed and artificial intelligence (AI)-/machine-learning (ML)-enabled cloud services from hyperscale CIPS providers.
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