According to GlobalData’s Market Opportunity Forecasts Model, the public and the private cloud computing services together will account for approximately 80% of the overall US$256bn cloud computing revenue in APAC in 2023.
The report from GlobalData forecasts the growth in public cloud revenues as technologies contribute “immensely to the strategic business innovation initiatives and cost-efficiency synergies amongst the enterprises in APAC.
GlobalData says public cloud services are estimated to witness a compound annual growth rate (CAGR) of 21% during the outlook period - the highest amongst the various cloud product/services offerings in the region.
“Smart cities initiatives will be one of the prime catalysts for the adoption of public cloud services, as they are being preferred by the government agencies for transformation of their incumbent IT infrastructure & risk management, and substitute their existing licensed software.”
GlobalData’s report reveals that the adoption of public cloud by the governments for their systems, in addition to increased reliance by industry verticals such as financial services institutions, retailers, media and manufacturing towards a digital native business, will act as the key growth drivers during the review period.
The report says that software-as-a-Service (SaaS) will be the prime growth contributor and will account for 51% of the overall public cloud market in 2023, as enterprises focus on cost rationalisation by reducing hardware acquisition costs, provisioning and maintenance expenses and other cost areas related to software licensing, installation and support services.
“Cloud services will continue to revolutionise the operational methodology of the enterprises by providing them with an agile business model and scalability along with data accessibility either in a centralised or a distributed remote operating environment,” Sunil Kumar Verma concludes.