Public Cloud to Top $500B in Revenues by 2023, a 50% Rise

cloud
(Image credit: iStock)

LONDON—The move to the cloud was already on its way, but as a result of the Covid-19 pandemic, plans accelerated and that it is expected to be reflected in overall revenue for the public cloud. According to StockApps.com, by 2023, global public cloud revenue will reach $500.5 billion. 

Per a Statista survey, between 2016 and 2019, global public cloud revenues increased 128%, going from $94.7 billion to $216.6 billion. In 2020, with the onset of the pandemic, global revenue jumped 25%, bringing the total to $271.9 billion. It is expected that revenue will increase by another 25% in 2021, which will result in a total revenue of $338.8 billion.

Over the next two years, it is estimated public cloud revenue will rise another $161.7 billion, bringing the total to the projected $500.5 billion in 2023. By 2025, the market could reach $679.5 billion.

Software-as-a-Service is the public cloud’s largest segment and is forecasted to net $190.9 billion in revenue in 2021, an increase of 18% year-over-year. The next two years will see continued SaaS growth as things shift from on-premise to the cloud, growing an estimated 31% to $251.4 billion. The average revenue per user is expected to rise from $55.93 to $72.51 during this period.

The largest growth segment of the public cloud market is likely to be Infrastructure as a Service (IaaS), with 70% revenue growth expected, with $87.4 billion in 2021 and nearly $148 billion in 2023. Platform as a Service, meanwhile, will reach $60.4 billion in 2021 and then is projected to increase 67% to $101.1 billion in 2023.

The U.S. is the world’s largest public cloud market, generating $172.1 billion, or 50% of the revenues for 2021. In 2023, that figure is expected to be $231.7 billion. China is the second largest market, bringing in $28.8 billion in 2021 and an estimated $57.5 billion in 2023. The U.K. rounds out the top three, with an expected $15 billion in revenue in 2021 and $19.9 billion in 2023.

As far as leading cloud source providers, Amazon Web Services is out front with a 13.7% market share in 2021. Microsoft Azure (13.1%), Salesforce (5.7%), Oracle (4.9%) and Google Cloud (4.1%) round out the top five.

For more information, visit StockApps.com.  

CATEGORIES
Read more
Pixabay
Streamers to Surpass Broadcasters in Global Content Spending in 2025, a First
local news
Survey: Local Media Industry Bullish on Digital in 2025
2025 trends
2025 M&E Trends: What’s Old Is (Sometimes) New Again
Pixabay
Omdia: Global Online Consumer Expenditure to Hit $6.6 Trillion by 2029
Money
Study: Total U.S. TV Station Revenue To Decline in 2025
Cloud
Evaluating Cloud Service Providers
Latest in Business
Miami
Miami Gets New ABC Affiliate
Two women running a business
Spectrum Reach Launches New Tool To Boost Effectiveness of Ad Campaigns
campaign dollars
New Data on Political Advertising Shows Growing Importance of CTV Ads
money
BIA: Digital to Push Local Ad Revenue Up 6.1% in 2025
Money
Ateliere Offers $29.7M to Acquire Codemill
New Roar logo
Sinclair’s TBD TV Multicast Network to Rebrand As Roar
Latest in News
Man watching TV showing The Wild Robot
Peacock Added to Charter’s Spectrum TV Select Package at No Extra Cost
 Melissa Zimyeski, vice president of product, and Mat Yurow, vice president of growth, Tegna
Tegna Taps Melissa Zimyeski to Lead Development of Digital Consumer Products
Baton QC diagram
Norway’s NRK Improves Operational Efficiency With Interra Systems
AI-powered translation of English captions to Spanish
XL8 Delivers Real-Time Ai-Powered Spanish Captions to U.S. Public Broadcasters
Ateliere Live interface for sports
Ateliere to Debut TAMS Replay Capability at 2025 NAB Show
FCC meeting room lobby
FCC Launches Proceeding on GPS Alternatives