Research and Markets has released its Global Cloud Computing Services Market Report 2022, predicting cloud computing revenue will hit $519 billion by 2027.

Cloud computing has been gaining steam for years, but the global pandemic sent cloud adoption into overdrive. Companies large and small have been migrating to the cloud, utilizing a combination of private, public, hybrid, and mutlicloud options.

According to Research and Market’s latest report, the industry’s revenue is expected to hit $519 billion by 2027, growing at a compound annual growth rate (CAGR) of 23.7%. The firm attributes that growth to the transformative effect of the cloud:

Cloud is an enabler of business process change as it facilitates key benefits including expenditure reduction (CapEx and OpEx), service development and delivery efficiencies, and greater flexibility to meet evolving business needs. Cloud technologies and solutions are becoming increasingly more important to communication service providers, enterprise, content and commerce providers. This is particularly the case as many IT departments predominantly implement virtualization of network functions and “softwaritization” of applications and operational support systems through the use of software-defined network solutions.