The global cloud market is set to expand at a rapid pace, reaching $750 billion by 2027, thanks in large part to the growth of hybrid cloud options.
New research from SkyQuest Technology shows the cloud market is set to grow at an annual compound growth rate (CAGR) of 30.10% during the forecast period of 2020 to 2027. By 2027, the total market will be worth some $750 billion.
Cloud computing’s growth is being driven by a wide array of factors. The pandemic-fueled move toward remote and hybrid work has been a significant driving force, as has the cloud’s ability to help companies be more nimble and competitive.
Hybrid cloud, in particular, provides these benefits, giving organizations the ability to quickly adapt to changing demand. As a result, not only did hybrid cloud account for 25% of the market in 2021, but it will continue to be a growth driver.
In 2021, hybrid cloud segment held a significant share of more than 25% share in the global market. The segmental growth of the market is attributed to the certain advantages offered by hybrid cloud when compared with other deployment type. Using a hybrid cloud allows businesses to scale computer resources while also reducing the need to invest large sums of money to handle short-term spikes in demand, as well as freeing up local resources for more sensitive data or applications. Hence, this contributes to the segmental market growth.
Some of the biggest tech companies have already bet big on hybrid cloud options. IBM is one such company, announcing in late-2020 that it would split into two companies, with the core business focused on hybrid cloud computing.