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Will global cloud computing spending increase by 19% annually in 2023?
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Author : JIUZHOU
Update time : 2024-02-06 10:52:58
Global cloud computing spending will increase by 19% in 2023 compared with 2022. Although economic, monetary and political headwinds have weakened.
But it’s clear that generative AI technologies and services are having a significant impact. This helps drive cloud spending further.
According to new data from a research group:
In the fourth quarter of 2023, global enterprises spent nearly $74 billion on cloud infrastructure services.
This figure represents an increase of more than $12 billion from the fourth quarter of 2022.
The year-over-year growth rate in the fourth quarter of 2023 is 20%. This is significantly higher than the previous three quarters.
Notably, the market grew by $5.6 billion from the third quarter of 2023. This is the largest quarter-over-quarter increase achieved to date.
This figure for the fourth quarter of 2023 is an increase of more than $12 billion from the fourth quarter of 2022. Although economic, monetary and political headwinds have weakened.
Generative AI tech and services are making a significant impact, boosting cloud spending.
Currently, most major cloud service providers have announced their fourth quarter 2023 financial reports.
In Q4 2023, global cloud infrastructure services made around $73.7 billion in revenue, as estimated by a research group.
Based on reliable data, experts predict that the revenue will be 270 billion US dollars in 2023.
Public IaaS and PaaS services accounted for the majority of the market, growing 21% in the fourth quarter.
The top three major cloud service providers dominate the public cloud sector. They account for 73% of the market share.
The cloud market is experiencing robust growth in all global regions. The Asia-Pacific region experienced the highest growth in local currency terms. India, China, Australia, and Japan all had annual growth rates of over 20%.
The United States remains by far the largest cloud market, larger than the entire Asia-Pacific region. The U.S. market grew 16% in the fourth quarter.
The growth rate in Q4 2023 exceeded expectations because of better market conditions and the AI boom.
Cloud computing is now a huge market, and it needs a lot of momentum to drive it. But artificial intelligence has already done this.
In the future, due to the law of large numbers, the cloud market will never revert to the growth rates it experienced before 2022.
But the research group does predict that growth rates will now level off, driving huge continued annual increases in cloud spending.
The research group predicts that the annual market size of global cloud spending will soon reach the $500 billion mark.
But it’s clear that generative AI technologies and services are having a significant impact. This helps drive cloud spending further.
According to new data from a research group:
In the fourth quarter of 2023, global enterprises spent nearly $74 billion on cloud infrastructure services.
This figure represents an increase of more than $12 billion from the fourth quarter of 2022.
The year-over-year growth rate in the fourth quarter of 2023 is 20%. This is significantly higher than the previous three quarters.
Notably, the market grew by $5.6 billion from the third quarter of 2023. This is the largest quarter-over-quarter increase achieved to date.
This figure for the fourth quarter of 2023 is an increase of more than $12 billion from the fourth quarter of 2022. Although economic, monetary and political headwinds have weakened.
Generative AI tech and services are making a significant impact, boosting cloud spending.
Currently, most major cloud service providers have announced their fourth quarter 2023 financial reports.
In Q4 2023, global cloud infrastructure services made around $73.7 billion in revenue, as estimated by a research group.
Based on reliable data, experts predict that the revenue will be 270 billion US dollars in 2023.
Public IaaS and PaaS services accounted for the majority of the market, growing 21% in the fourth quarter.
The top three major cloud service providers dominate the public cloud sector. They account for 73% of the market share.
The cloud market is experiencing robust growth in all global regions. The Asia-Pacific region experienced the highest growth in local currency terms. India, China, Australia, and Japan all had annual growth rates of over 20%.
The United States remains by far the largest cloud market, larger than the entire Asia-Pacific region. The U.S. market grew 16% in the fourth quarter.
The growth rate in Q4 2023 exceeded expectations because of better market conditions and the AI boom.
Cloud computing is now a huge market, and it needs a lot of momentum to drive it. But artificial intelligence has already done this.
In the future, due to the law of large numbers, the cloud market will never revert to the growth rates it experienced before 2022.
But the research group does predict that growth rates will now level off, driving huge continued annual increases in cloud spending.
The research group predicts that the annual market size of global cloud spending will soon reach the $500 billion mark.
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