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Mumbai, India, June 28, 2016

Gartner Says Public Cloud Services in Mature Asia/Pacific Forecast to Reach $8.1 Billion in 2016

The public cloud services market in the mature Asia/Pacific (AP) region is on pace to grow 12.8 percent in 2016 to total $8.11 billion, up from $7.19 billion in 2015, according to Gartner, Inc. By 2019, Gartner predicts that total public cloud services spending in the mature AP region will rise to $12.4 billion.

Public cloud services are shared, meterable, elastic and scalable multi-tenanted IT offerings delivered as a subscription-based service to external customers using internet technologies. Gartner categorises Australia, New Zealand, Singapore and South Korea as the mature Asia/Pacific market.

Software as a Service is fastest growth segment of the public cloud services market in the mature AP region with a projected growth rate of 22.5 percent, and a revenue projection of $1.67 billion (see Table 1).

"The public cloud market continues to grow in the mature AP market with SaaS as the primary growth segment," said Sid Nag, research director at Gartner. "Organizations are pursuing a cloud first strategy focused on igrating software applications to the cloud driving this growth."

"The growth in cloud management and security services is testimony that cloud related services, in addition to the core cloud services, are critical to cloud adoption. Organizations will look for increased automation and management of these cloud assets, as well as focus on the security aspects of consuming public cloud," Mr. Nag added.

Table 1. Mature AP Public Cloud Services Forecast (Millions of U.S. Dollars)

 

2015

2016

2017

2018

2019

2020

Cloud Business Process Services (BPaaS)

762.0

778.1

826.7

873.5

919.9

974.6

Cloud Application Services (SaaS)

1,365.1

1,672.6

2,091.2

2,601.1

3,189.8

3,863.2

Cloud Application Infrastructure Services (PaaS)

205.4

248.0

305.3

359.9

412.8

469.3

Cloud System Infrastructure Services (IaaS)

601.2

651.3

733.1

824.8

922.1

1,041.2

Cloud Management and Security Services

227.5

278.3

340.8

402.9

470.4

541.8

Cloud Advertising

4,033.9

4,485.1

5,102.1

5,837.7

6,660.6

7,623.4

Total

7,195.1

8,113.3

9,399.1

10,899.8

12,575.5

14,513.4

Source: Gartner (June 2016)

More detailed analysis is available for Gartner clients in the report "Forecast: Public Cloud Services, Worldwide, 2014-2020, 1Q16 Update.

About Gartner

Gartner, Inc. (NYSE: IT), is the world’s leading research and advisory company and a member of the S&P 500. We equip business leaders with indispensable insights, advice and tools to achieve their mission-critical priorities today and build the successful organizations of tomorrow.

Our unmatched combination of expert-led, practitioner-sourced and data-driven research steers clients toward the right decisions on the issues that matter most. We are a trusted advisor and objective resource for more than 15,000 organizations in more than 100 countries — across all major functions, in every industry and enterprise size.

To learn more about how we help decision makers fuel the future of business, visit gartner.com.

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