Gartner: 4 Trends Shaping the Future of Public Cloud
Global End-User Spending on Public Cloud Services Expected to Exceed $480 Billion Next Year
August 03, 2021
Share this

Four new trends in cloud computing are continuing to expand the breadth of cloud offerings and capabilities, accelerating growth across all segments in the public cloud services market, according to Gartner, Inc. The four trends are: cloud ubiquity, regional cloud ecosystems, sustainability and carbon-intelligent cloud, and cloud infrastructure and platform service (CIPS) providers' automated programmable infrastructure.

"The economic, organizational and societal impact of the pandemic will continue to serve as a catalyst for digital innovation and adoption of cloud services," said Henrique Cecci, Senior Research Director at Gartner. "This is especially true for use cases such as collaboration, remote work and new digital services to support a hybrid workforce."

1. Cloud Ubiquity

Today, the cloud underpins most new technological disruptions, including composable business, and has proven itself during times of uncertainty with its resiliency, scalability, flexibility and speed. Hybrid, multicloud and edge environments are growing and setting the stage for new distributed cloud models.

In addition, new wireless communications advances, such as 5G R16 and R17, will push cloud adoption to a new level of broader, deeper and ubiquitous usage. Use cases such as enhanced mobile banking experiences and healthcare transformation will also emerge.

As a result, global cloud adoption will continue to expand rapidly. Gartner forecasts end-user spending on public cloud services to reach $396 billion in 2021 and grow 21.7% to reach $482 billion in 2022. Additionally, by 2026, Gartner predicts public cloud spending will exceed 45% of all enterprise IT spending, up from less than 17% in 2021.

"Organizations are advancing their timelines on digital business initiatives and moving rapidly to the cloud in an effort to modernize environments, improve system reliability, support hybrid work models and address other new realities compelled by the pandemic," said Brandon Medford, Senior Principal Analyst at Gartner.

2. Regional Cloud Ecosystems

Growing geopolitical regulatory fragmentation, protectionism and industry compliance are driving the creation of new regional and vertical cloud ecosystems and data services. Companies in the financial and public sectors are looking to reduce critical lock-in and single points of failure with their cloud providers outside of their country.

Regions not able to create or sustain their own platform ecosystems will have no choice but to leverage the platforms created in other regions and resort to legislation and regulation to maintain some level of control and sovereignty. Concerns among politicians, academia and tech providers in these regions are increasing, leading to initiatives such as GAIA-X in European countries.

3. Sustainability and "Carbon-Intelligent" Cloud

Nearly half of the respondents in the 2021 Gartner CEO Survey believe climate change mitigation will have a significant impact on their business. Cloud providers are responding to this growing focus on sustainability by instituting more aggressive carbon-neutral corporate goals, which creates new challenges for infrastructure and operations (I&O) leaders.

"New sustainability requirements will be mandated over the next few years and the choice of cloud services providers may hinge on the provider's 'green' initiatives," said Cecci.

4. CIPS Providers' Automated Programmable Infrastructure

Gartner expects the broad adoption of fully managed and artificial intelligence (AI)-/machine-learning (ML)-enabled cloud services from hyperscale CIPS providers. This will rapidly eliminate the operational burden of traditional I&O roles in the public cloud.

"Infrastructure is becoming programmable, and its operation is subsequently becoming automated," said Cecci. "Modern IT infrastructure, whether deployed in the data center or consumed in the public cloud, requires less manual intervention and routine administration than its legacy equivalents."

Share this

The Latest

August 08, 2022

Hybrid and remote work environments have been growing significantly in the past few years. As individuals move away from traditional office settings in today's new remote and hybrid environments, many operational issues such as poor visibility into asset status and refreshes, unaccounted assets, and overspending on software are becoming a bigger challenge for IT departments ...

August 05, 2022

MLOps or Machine Learning Operations are a combination of best processes and practices that businesses use to run AI successfully ... While it is a relatively new field, MLOps is a collective effort that captured the interest of data scientists, DevOps engineers, AI enthusiasts, and IT ...

August 04, 2022

The data is in: enterprises are not happy with their managed service providers (MSPs) and cloud service providers (CSPs). According to the latest CloudBolt Industry Insights report, Filling the Gap: Service Providers' Increasingly Important Role in Multi-Cloud Success, 80% are so unsatisfied with their existing MSP and/or CSP, they are actively looking to replace them within 12 months ...

August 03, 2022

The last two years have accelerated massive changes in how we work, do business, and engage with customers. According to Pega research, nearly three out of four employees (71%) feel their job complexity continues to rise as customer demands increase, and employees at all levels feel overloaded with information, systems, and processes that make it difficult to adapt to these new challenges and meet their customers' growing needs ...

August 02, 2022

Investing in employees will always be smart business. And right now, investing in employees means giving people the resources — and ability — to optimize performance ... For pretty much every company, that means delivering the digital tools necessary to facilitate seamless, secure, user-friendly access and connectivity ...

August 01, 2022

Digital transformation can be the difference between becoming the next Netflix and becoming the next Blockbuster Video. With corporate survival on the line, "digital transformation" is no longer merely an impressive buzzword to throw around in boardrooms. It's the ticket for entry into the digital era, a fundamental business strategy for every modern company ...

July 29, 2022

IT infrastructure has rapidly evolved over the last decade, and as a result important specialized tools have been developed and an entire dedicated industry has grown up to serve the need for monitoring these IT systems and services in order to keep them operational and efficient ...

July 28, 2022

At Cisco AppDynamics, we recently conducted research exploring consumer attitudes and behaviors in relation to wearable technology ... In our study, 87% of global consumers claimed that trust is a critical factor when choosing a wearable medical device or application brand. And, 86% expect companies offering wearable technology and applications to demonstrate a higher standard of protection for their personal data than any other technology they use ...

July 27, 2022

You've been here before: waiting for a web page to load. You keep refreshing it, but still no luck. How many times will you try to reload the page before visiting a different site? Probably not too many. Brands today have just a few moments at most to captivate and delight potential customers ...

July 26, 2022

In the DevOps world, observability is trumpeted and lauded in many corners. However, in reading much of the coverage, there seemed to be some more fundamental issues at play. It's time to demystify the idea of observability, shedding light on what it means in a broader context. And once we break down the concept and its true value to an organization, let's answer a more important question: Are we approaching an observability tipping point? ...