Gartner Research

Cloud Service Providers Must Understand Deployment, Adoption and Buyer Complexity to Leverage Cloud Revenue Opportunities

Published: 13 January 2015

ID: G00271022

Analyst(s): Ed Anderson , Dane Anderson, Fred Ng


The high growth in cloud service utilization and spending presents significant revenue opportunity for service providers. The opportunity can only be leveraged if service providers endeavor to understand deployment model variations, reach new buyers and respond to customer-driven investment timing.

Table Of Contents
  • Impacts


  • Good News: Deployment and Spending for Cloud Services Are Increasing
  • Bad News: CIOs Say It Is Time for a Change in Sourcing
  • Key Challenges Facing Cloud Service Providers

Impacts and Recommendations

  • Plans for cloud deployment models vary over time, which will challenge service providers to deliver cloud services and supporting IT services that meet customer-specific cloud deployment needs at the right time
    • Strategic Aspirations for Cloud Deployment
    • Cloud Deployment Models Vary by Region, Country and Over Time
    • Cloud Deployment Varies for Emerging and Mature Markets
    • Cloud Deployment Varies by Cloud Service
    • Cloud Deployment Varies for SaaS in Application Software Markets
  • Cloud adoption drivers and inhibitors may vary substantially based on role of stakeholders requiring service providers to understand multiple target audiences within a single firm
    • Cloud Services Decision Makers and Level of Involvement
    • Substantial Budget for Cloud Is Outside of IT Budget
    • Different Stakeholder Views on Reasons to Deploy Public Cloud
    • Drivers and Inhibitors for Deploying Public Cloud Vary by Country
  • Understanding and adapting to variations in spending intentions and investment timing for cloud applications and services will enable service providers to more precisely target market-specific customer needs and timing with sales initiatives
    • Organizations Are Making Significant Investments in Cloud Services
    • Spending on SaaS Has Reached Tipping Point
    • Timing of Spending Varies by SaaS Application
    • Cloud Service Provider Selection Criteria
    • Demand and Timing of IT Services for Cloud Computing

Gartner Recommended Reading

©2021 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. and its affiliates. This publication may not be reproduced or distributed in any form without Gartner’s prior written permission. It consists of the opinions of Gartner’s research organization, which should not be construed as statements of fact. While the information contained in this publication has been obtained from sources believed to be reliable, Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner research may address legal and financial issues, Gartner does not provide legal or investment advice and its research should not be construed or used as such. Your access and use of this publication are governed by Gartner’s Usage Policy. Gartner prides itself on its reputation for independence and objectivity. Its research is produced independently by its research organization without input or influence from any third party. For further information, see Guiding Principles on Independence and Objectivity.

Already have a Gartner Account?

Purchase this Document

To purchase this document, you will need to register or sign in above

Become a client

Learn how to access this content as a Gartner client.