3 Trends Shaping the Evolving Cloud Hosting Market
Intricately’s cloud data empowers go-to-market teams with a granular view into the many sectors of the cloud infrastructure market. Our annual cloud market reports apply this very focused lens to analyze the buyers and sellers in the cloud hosting market.
In our 2021 State of the Cloud Hosting Market Report, Intricately identifies over 1.5 million businesses that are investing in cloud hosting solutions, with spend adding up to a total cloud hosting market value of $108 billion.
Within this analysis, three market trends have emerged – which will lead to sustained market growth in 2022 and beyond. Here are three key takeaways.
1. Multi-cloud implementations are becoming the norm.
Intricately data shows that multi-cloud implementations among enterprise businesses have been steadily increasing over the past five years. One trend fueling this shift is the adoption of container technology. Removing much of the complexity associated with cloud hosting implementation and operation, the shift to containers has increased flexibility and scalability – and is one of the key drivers empowering buyers to leverage multi-cloud implementations.
Read the full report to learn more about the impact of multi-cloud on cloud buying and selling.
One example of a big enterprise buyer Intricately can see has adopted a multi-cloud strategy is Peloton Interactive.
Multi-cloud strategy spotlight: Peloton Interactive
- Estimated monthly cloud spend: $342,000
- Cloud hosting providers include Amazon EC2, Google, and IBM Softlayer.
2. Commoditization is changing market expectations.
The cloud infrastructure market is quickly becoming commoditized. As quality standards increase, so do buyer expectations for ease-of-use and flexibility. As more and more options for cloud hosting services become available to buyers, sellers are finding success in customized cloud offerings.
- Amazon Web Services is a leader in the personalization of cloud services, providing specialized solutions by use-case, organization type or industry.
Snowflake approached the market as a specialized solution – a new high-margin data cloud that better served the demand of the market.
Today's cloud buyers have embraced this trend and have come to expect more personalized cloud solutions from their providers. There are a multitude of benefits that specialized cloud solutions bring to buyers, like streamlined resourcing and cost savings.
3. Cloud laggards have accelerated their digital transformation.
The global demand for secure remote technology driven by the global pandemic led to a massive acceleration of cloud adoption. Even industries that were previously considered laggards became rapid cloud adopters to stay relevant and successful, as digital services replaced standard face-to-face consumer experiences.
Forrester recently highlighted the rapid cloud adoption of top consumer organizations like Lowes, Instacart, and more. Check out our accompanying blog post for an analysis of their growing cloud adoption, usage and spend.
As the global economy emerges from the pandemic, this location-agnostic flexibility of technology has become the new normal. This shift is fueling the growth of edge computing and standardizing the move to the cloud across all industries.
Crush your go-to-market goals by targeting accounts with high cloud hosting spend.
Intricately's full analysis can be leveraged by cloud sellers to differentiate themselves in a crowded, dynamic market. Get the free report below.