IT storage needs fueling cloud computing investment

Monday, October 24, 2011

In the next five years, cloud computing is expected to be a key driver for new global IT spending as companies look to adopt public and private cloud infrastructure for their storage needs, according to a recent study conducted by research firm International Data Corporation.

From 2010 to 2015, overall spending for public cloud hardware, software and professional services is projected to increase at a compound annual growth rate of 23.6 percent. During this time, private cloud infrastructure budgets are expected to increase at CAGR of nearly 30 percent, according to IDC.

By 2015, global spending for both private and public cloud computing storage will reach $22.6 billion.

"The most significant driver of storage consumption over the past three years has been the emergence of public cloud-based application and infrastructure providers," said IDC. "Many of these cloud-based service providers act as content depots, which are primarily in the business of gathering, organizing, and providing access to large quantities of digital content."

Earlier this year, IDC predicted that overall public cloud computing spending worldwide is projected to grow at a CAGR of 27.6 percent from 2010 to 2015, reaching nearly $72 billion.