The market of cloud migration services is driven by a blend of public, private, and hybrid deployment techniques. Ranging from small and medium enterprises to big ones, these deployment services determine the scope and expansion of growth. However, there are other factors also that are responsible for determining the various verticals of market growth. These include the competitive landscape of the market and other personalization strategies.
The pulse of the market
For understanding the pulse of the market related to cloud-based services, it is important to deep dive into various statistics. Valued at more than a hundred billion in 2020, the cloud migration market is slated to reach more than 500 billion by the end of this decade. This is an important direction for small and medium enterprises in general and large enterprises in particular.
All the small and medium enterprises that adopted cloud migration services in recent times would undoubtedly benefit from the changing market trends that are in congruence with the Cloud Computing technologies. The big enterprises, on the other hand, that have switched over to cloud platforms are expected to double their revenues in the next five years. This points out the significance of cloud-based technologies for information technology firms. As per a report by Century Link, a telecom company, the cloud computing market is expected to grow by about 12.5% in the next three quarters of 2021.
A shift towards accelerated migration
Several reasons are responsible for accentuated migration of companies to the cloud environment. Apart from providing greater scalability and mobility, cloud computing services also provide increased effectiveness and faster implementation. The option of disaster recovery is also incentivizing various types of enterprises to switch to the cloud environment. When we speak about the disaster recovery options, they not only allow the customers to expand their business but provide various other features that serve as insurance for them in case of a data loss. A move towards computing technology is also pushing various types of businesses to increase their subsidiaries in a small amount of time.
We are also witnessing a rapid decline in traditional data center outsourcing which can be attributed to cloud migration services. This massive shift towards cloud migration is changing the way platform infrastructure and services are utilized. The traction of companies towards DevOps capabilities is giving us an idea of the extent of automation that is happening at present. This also gives us an idea of the technical and business benefits that cloud-based strategies are bringing to us.
A report by Right scale pointed out that almost 80% of the companies have adopted a multi-cloud strategy in one or the other way and about 55% of them have switched over to a hybrid approach. This means that the tendency of companies to use a blend of public and private cloud services is on the rise. The benefits of hybrid cloud have brought a lot of cost savings to the companies as per a report by State of cloud survey.
Highlights of the recent trends
We are seeing that banking and financial organizations are rapidly accelerating towards cloud-based services. More importantly, this trend has been referred to as the fintech acceleration. The fintech acceleration has been possible as Cloud Computing has enabled banks to cut down on their infrastructure costs. The benefits of infrastructure as a service and platform as a service are directly visible in the fintech industry. Cloud Computing is also the prime driver behind the modernization of the fintech industry. Be it the advances with the help of artificial intelligence or blockchain-based technologies, Cloud Computing is at the center of such advancement.
Another important trend that we are witnessing in the fintech industry is the adoption of Data Analytics and machine learning techniques. About 45% of the industries in this domain have adopted Data Analytics and machine learning techniques which are helping them in cloud migration services.
The above-mentioned trends which are part of Cloud Computing have benefited different types of sectors to quite some extent. When we speak of discrete manufacturing, Cloud Computing has boosted the revenues of this domain by about 15%. When we refer to the banking industry, Cloud Computing has led to a growth of about 10% in the sector. Finally, when we speak of process manufacturing and retail, Cloud Computing has led to a growth of about 7% in the former and 8% in the latter.
Concluding remarks
It is high time to migrate to the cloud environs given the benefits that we can reap from this emerging technology.