Global Cloud Revenue to Total $474 Billion in 2022, Up from $408 Billion in 2021
Dubai, UAE., November 17, 2021 — The ongoing pandemic and the surge in digital services are making cloud the centerpiece of new digital experiences, said Gartner, Inc.
“There is no business strategy without a cloud strategy,” said Milind Govekar, distinguished vice president at Gartner. “The adoption and interest in public cloud continues unabated as organizations pursue a “cloud first” policy for onboarding new workloads. Cloud has enabled new digital experiences such as mobile payment systems where banks have invested in startups, energy companies using cloud to improve their customers’ retail experiences or car companies launching new personalization services for customer’s safety and infotainment.”
In 2022, global cloud revenue is estimated to total $474 billion, up from $408 billion in 2021. Over the next few years, Gartner analysts estimate cloud revenue will surpass noncloud revenue for relevant enterprise IT markets.
During Gartner IT Symposium/Xpo EMEA, taking place virtually through Thursday, Gartner analysts discussed how cloud will become the pervasive style of computing in the near future.
Use of Cloud-Native Technologies Will Be Pervasive, not Just Popular
Gartner analysts said that more than 85% of organizations will embrace a cloud-first principle by 2025 and will not be able to fully execute on their digital strategies without the use of cloud-native architectures and technologies.
“Adopting cloud-native platforms means that digital or product teams will use architectural principles and capabilities to take advantage of the inherent capabilities within the cloud environment,” said Govekar. “New workloads deployed in a cloud-native environment will be pervasive, not just popular and anything noncloud will be considered legacy.”
By 2025, Gartner estimates that over 95% of new digital workloads will be deployed on cloud-native platforms, up from 30% in 2021.
As the operating model changes, the organization will turn to a product-orientated operating model where the entire value stream of the business and IT will have to be aligned by products. This will create new roles and responsibilities, such as site reliability engineers, product managers or communities of practices.
Low-Code and No-Code Technologies Use Will Nearly Triple by 2025
Application development will shift to application assembly and integration. The applications will be assembled and composed by the teams that use them. “The technological and organizational silos of application development, automation, integration and governance will become obsolete,” said Govekar. “This will drive the rise of low-code application platforms (LCAPs) and citizen development.”
By 2025, 70% of new applications developed by organizations will use low-code or no-code technologies, up from less than 25% in 2020. The rise of low-code application platforms (LCAPs) is driving the increase of citizen development, and notably the function of business technologists who report outside of IT departments and create technology or analytics capabilities for internal or external business use.
Connect Everywhere with SASE
Cloud-delivered secure access service edge (SASE) presents the fastest growth opportunity in the networking and network security market. As most traffic from branches and edge computing locations will not go to an enterprise data center, CIOs and IT leaders will increasingly use SASE to secure the anywhere and anytime access needs from users and devices.
Gartner estimates that in 2022, end-user spending on SASE will total $6.8 billion, up from $4.8 billion in 2021. In addition, by 2025, more than 50% of organizations will have explicit strategies to adopt SASE, up from less than 5% in 2020.
“Instead of shipping all traffic to central security appliances, CIOs and IT leaders must bring security to the sessions, instead of bringing sessions to the security,” said Govekar.
About Gartner IT Symposium/Xpo
Additional analysis on the future of cloud will be presented during Gartner IT Symposium/Xpo 2021, the world’s most important conferences for CIOs and other IT executives. Follow news and updates from the conferences on Twitter using #GartnerSYM.
About the Gartner Information Technology Practice
The Gartner IT practice provides CIOs and IT leaders with the insights and tools to drive the organization through digital transformation to lead business growth. Additional information is available at www.gartner.com/en/information-technology. Follow news and updates from the Gartner IT practice on Twitter and LinkedIn.
Gartner, Inc. (NYSE: IT) delivers actionable, objective insight to executives and their teams. Our expert guidance and tools enable faster, smarter decisions and stronger performance on an organization’s most critical priorities. To learn more, visit gartner.com.
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