Public Cloud Application Services Market will Register a CAGR of 23.7% through 2022
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The report projects the global public cloud application services market to attain a value of US$130,550 mn in 2022 by expanding at a cracking pace. This is because of the facilities and ease of operations accorded by cloud computing. Public cloud, to put it succinctly, is based on the standard cloud computing model wherein the service provider offers resources, namely virtual machines, applications or storage to end-users via the internet. The public cloud services are sometimes offered for free and sometimes on a pay-per-usage model.
The public cloud, unlike private cloud, has the potential to save companies expenditure to buy, manage, and maintain on-premises hardware and application infrastructure. In addition, public cloud also steals a march over private cloud in terms of time required for deployment. Any employee of a company can access the application from any office or branch with a device of his/her choice via internet. Another major advantage of public cloud service is that they are scalable, meaning companies can scale up their usage to keep pace with increased demand for services. Because of so many advantages, public cloud application services are seeing soaring uptake.
One major challenge faced by public cloud application services market is the concerns over security. However, even that is being effectively tackled by leveraging appropriate security methods, such as intrusion detection and prevention systems (IDPS).
Some of the main end-users of public cloud application services are business intelligence application, digital content application, customer relationship management, ERP application, digital content application, enterprise content management, project management, office suites, supply chain management, application software, and social software suites. Currently, the business intelligence application segment is a key revenue grosser that is expected lose some of its market share in the near future.
Among end-use verticals, the government sector helps generate substantial demand for public cloud application services. The segment is predicted to pull in a revenue of US$15.5 bn by 2022 by rising at a robust CAGR of 19.4% over the forecast period between 2017 and 2022.
Geographically, the key regions in the global public cloud application services market are North America, Latin America, Asia Pacific excluding Japan, Japan, Europe, and the Middle East and Africa. North America, of them, is a key market owing to a large number of small and medium enterprises in the region that are quick to lap up latest technologies to scale up businesses. Besides, presence of big players in the market in the region has also served to drive growth.
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Some of the key companies operating in the global public cloud application services market are Amazon Web Services Inc., International Business Machines Corp., SAP SE, Alphabet, Inc., Microsoft Corporation, Oracle Corp., Salesforce.com, Inc., NetSuite, Inc., Adobe Systems, Inc., and Cisco Systems, Inc. The report studies their products and services, revenues, strategies, and market shares in order to gauge the direction in which competition is headed in the market.
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