Top 50 Cloud Computing Statistics and Trends For 2023
Cloud computing has completely transformed organization operations by providing adaptable and scalable solutions to fulfill their computing demands. As a result, the data and trends related to cloud computing are expanding along with the demand for this technology.
In this article, we will look at the top 50 cloud computing statistics and trends for 2023, giving you a comprehensive understanding of the state of cloud computing and what to expect in the coming year.
From adoption rates to cost savings, these statistics will provide valuable insights into the current and future landscape of cloud computing.
Exploring the Growth and Adoption of Cloud Technology
With the shift to remote work and the continued demand for digital transformation, cloud technology is expected to grow and become even more ubiquitous in the coming years.
1. Competition Among Cloud Providers Driving Adoption
The increasing competition among cloud providers also drives adoption, as organizations have more options and can negotiate better pricing and services. According to Gartner, Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform (GCP) are the top three cloud providers, with AWS having the largest market share at 32%.
2. Global Cloud Computing Market Size: Rapid Growth Projected
According to projections, the size of the worldwide cloud computing industry will increase from $371.4 billion in 2020 to $832.1 billion in 2025 at a compound annual growth rate (CAGR) of 17.5%.
3. Widespread Adoption of Cloud Services by Enterprises
In 2023, 94% of enterprises use at least one cloud service, with the average number of cloud services used being 2.2 in midsize enterprises and 4.8 in large enterprises.
4. Rising Investment in Public Cloud Services and Infrastructure
According to projections, global investment in public cloud services and infrastructure will exceed $500 billion in 2023, up from $229 billion in 2019, representing a CAGR of 22.3%.
5. Improvement in Cloud Security Boosting Adoption
Adopting cloud technology also results from increased cloud security tools and service availability. In a recent survey, 75% of IT decision-makers said their organization’s cloud security was better than or equal to their on-premise security.
6. Impact of COVID-19 on Accelerated Adoption of Cloud Technology
The spread of COVID-19 has increased the use of cloud technology as organizations have had to adapt quickly to remote work. In a survey of IT decision-makers, 40% said they had increased their cloud spending due to the pandemic.
7. Adoption of Hybrid Cloud Strategies on the Rise
Many businesses are implementing a hybrid cloud strategy, which involves using both public and private cloud services. In a survey of IT decision-makers, 58% said they were using a hybrid cloud strategy, up from 51% in the previous year.
8. Cloud-Native Development Driving Cloud Adoption
(Source: Cloud Foundry Foundation)
The rise of cloud-native development, which involves building and deploying applications specifically designed for the cloud, also drives cloud adoption. According to a survey by the Cloud Foundry Foundation, 45% of organizations are currently using cloud-native development, while another 32% plan to do so shortly.
9. IoT Driving Growth of Cloud Technology
The adoption of IoT is also driving the growth of cloud technology, as organizations use the cloud to store and process the vast amounts of data generated by IoT devices. In a recent survey, 79% of organizations used the cloud to store IoT data.
10. Adoption of ML and AI Driving Cloud Adoption
ML and AI are other factors driving cloud adoption, as organizations use the cloud to access powerful ML and AI tools and services. According to a survey by O’Reilly, 85% of organizations are currently using ML or AI, while another 16% plan to do so soon.
Cloud Computing Market Forecast: Projections and Trends for the Future
As a result, the cloud computing market is expected to continue its rapid growth in the coming years, with projections suggesting a bright future for this industry.
11. Continued Growth Projected for the Cloud Computing Market
(Source: Allied Market Research)
The cloud computing market is expected to multiply in the coming years. According to a report by Allied Market Research, the predicted size of the worldwide cloud computing industry will be $1.25 trillion by 2028, growing at a CAGR of 17.6% from 2021 to 2028.
12. Widespread Adoption of Multi-Cloud Strategies
Multi-cloud adoption is expected to become more widespread in the coming years as organizations use multiple cloud providers to reduce vendor lock-in and increase flexibility. According to a report by Flexera, 92% of enterprises have a multi-cloud strategy, up from 81% in the previous year.
13. Rising Adoption of Edge Computing Technology
Edge computing, which includes processing data nearby, is becoming more popular as it is generated and is expected to increase in the coming years as organizations seek to reduce latency and improve performance. According to a survey by MarketsandMarkets, the edge computing market is anticipated to increase from $3.6 billion in 2020 to $15.7 billion by 2025, at a CAGR of 34.1% over the forecast period.
14. Continued Growth Projected for Hybrid Cloud Adoption
Hybrid cloud adoption is also expected to increase in the coming years as organizations seek to weigh the advantages of public and private cloud infrastructures. According to MarketsandMarkets, the hybrid cloud market is expected to grow at a CAGR of 23.3% between 2020 and 2025, from $44.6 billion in 2020 to $128.01 billion by 2025.
15. Industry-Specific Cloud Solutions: Meeting the Needs of Different Sectors
Cloud providers are increasingly offering industry-specific solutions to meet the unique needs of different sectors. For example, cloud providers offer healthcare-specific solutions that comply with industry regulations and financial services-specific solutions with advanced security features.
16. Growing Focus on Cloud Security with Increased Adoption
(Source: Cloud Security Alliance)
With the increasing adoption of cloud technology, there is also an increased focus on cloud security. As a result, cloud providers are investing in advanced security features, such as encryption, access controls, and threat detection, to help organizations protect their data in the cloud.
17. Rising Adoption of Serverless Computing for Cost Savings and Agility
The adoption of serverless computing, which involves using a cloud provider to manage infrastructure and automatically scale resources as needed, is expected to increase in the following years as businesses strive to reduce costs and increase agility. According to a report by MarketsandMarkets, the serverless architecture market is projected to grow from $3.3 billion in 2020 to $14.1 billion by 2025, at a CAGR of 33.4% during the forecast period.
18. Growing Adoption of AI and ML through Cloud-Based Services
The adoption of AI and ML is expected to increase in the coming years as organizations use cloud-based services to access advanced AI and ML tools and services. According to a report by Gartner, the AI market is projected to grow from $37.5 billion in 2020 to $97.9 billion by 2023, at a CAGR of 17.1% during the forecast period.
19. Rising Adoption of Quantum Computing for Complex Problem Solving
The adoption of quantum computing, which involves using quantum mechanics to process information, is expected to increase in the coming years as organizations seek to solve complex problems that are difficult to solve with classical computers. According to a report by MarketsandMarkets, the quantum computing market is projected to grow from $472 million in 2021 to $1.7 billion by 2026, at a CAGR of 29.04% during the forecast period.
20. Growing Adoption of Green Computing for a Lower Carbon Footprint
The adoption of green computing, which involves reducing the environmental impact of cloud computing, is expected to increase in the coming years as organizations become more aware of their carbon footprint. In addition, cloud providers are investing in renewable energy sources and energy-efficient data centers to reduce their carbon footprint.
How Companies are Transforming Their Business Models with Cloud Solutions
In recent years, more and more companies have been adopting cloud solutions to transform their business models and stay ahead of the competition.
21. Over 60% of Enterprises Migrate to Cloud Solutions for Business Transformation
Cloud solutions are a critical driver for their business transformation, recognizing the numerous advantages of cloud computing. This increasing adoption of cloud technology indicates a significant shift in how organizations manage their IT infrastructure, applications, and data.
22. Gartner Predicts 75% of Organizations Will Implement Cloud-Based Business Models by 2025
This pattern demonstrates an increasing awareness of the transformative potential of cloud computing in enabling businesses to become more agile, efficient, and innovative. A primary driver behind this growth is the need for digital transformation.
23. 90% of New Enterprise Applications Will Be Cloud-Native by 2022
This surge in cloud-native application development is driven by the numerous benefits offered by cloud platforms, which enable organizations to build, deploy, and scale applications more efficiently and effectively.
24. 80% of Companies Are Accelerating Cloud Adoption for Business Transformation
This growing trend highlights the essential role of cloud computing in modern business strategies as organizations increasingly recognize its numerous advantages for enhancing their operations, scalability, and competitiveness.
25. Cloud Solutions Key to 85% of Digital Transformation Efforts
As companies across various industries strive to adapt and innovate in an increasingly digital world, cloud technologies offer the tools and infrastructure necessary to drive these transformations successfully.
26. 70% of CEOs Are Prioritizing Cloud-Based Business Model Transformation
This demonstrates the growing recognition among top executives of the importance of cloud computing in driving innovation, agility, and competitiveness in today’s rapidly evolving business landscape.
27. Cloud Computing Drives Business Model Innovation for 65% of Enterprises
(Source: World Economic Forum)
They emphasize the transformative power of cloud technologies in shaping the future of business. As organizations increasingly adopt cloud solutions, they can unlock new opportunities for growth, efficiency, and competitiveness across various industries.
28. 78% of Organizations Plan to Adopt Hybrid Cloud Strategies for Business Transformation
A hybrid cloud approach combines the benefits of both public and private cloud environments, allowing businesses to optimize their resources, enhance security, and achieve greater agility.
29. 84% of Companies Are Investing in Cloud Technologies to Drive Business Model Change
As organizations continue to recognize the numerous advantages cloud solutions offer, they increasingly leverage these technologies to foster innovation, enhance scalability, and preserve a competitive advantage in their respective businesses.
30. Cloud Solutions at the Core of 72% of Business Model Transformations
As organizations increasingly turn to cloud technologies to stay ahead of the curve, they leverage the numerous advantages offered by these solutions to drive innovation, increase agility, and maintain a competitive edge.
Uncovering the Latest Cloud Security Trends and Statistics
Cloud computing has become an essential component of modern businesses, enabling organizations to store and process large amounts of data more efficiently.
31. 74% of Organizations Adopting Zero Trust Security Models in Cloud Environments
(Source: CSO Online)
Zero Trust security models in cloud environments highlight the growing emphasis on robust security measures to protect sensitive data and applications. As more businesses migrate their infrastructure and operations to the cloud, ensuring their data assets’ safety has become a top priority.
32. 81% Increase in Multi-Factor Authentication Adoption for Cloud Security
(Source: Security Boulevard)
They are demonstrating a heightened awareness among organizations about the need to protect their data and applications in the cloud. As a result, implementing robust security measures like MFA has become crucial for safeguarding valuable assets and mitigating potential risks as cyber threats evolve.
33. 62% of Companies Prioritize Data Encryption in the cloud
(Source: Infosecurity Magazine)
Companies prioritize data encryption in the cloud to safeguard sensitive information and ensure regulatory compliance. As businesses increasingly migrate their data and applications to the cloud, ensuring the security and privacy of this information has become a top concern.
34. Cloud Security Spending to Reach $12.6 Billion by 2025, Growing at 25% CAGR.
This significant increase in investment underscores the rising importance of securing cloud infrastructure and data as organizations continue to adopt and rely on cloud-based solutions.
35. 57% of IT Professionals Report Increased Focus on Cloud Security Posture Management
(Source: Dark Reading)
As organizations seek to enhance the security of their cloud environments. As businesses migrate their infrastructure, applications, and data to the cloud, maintaining a strong security posture has become a top priority.
36. 69% of Organizations Use Cloud Access Security Brokers (CASBs) for Enhanced Cloud Protection
They reflect the growing importance of robust security measures in today’s cloud-centric business landscape. As companies increasingly rely on cloud services for their operations, ensuring the privacy and security of their sensitive data and applications has become crucial.
37. Cloud Security Concerns Drive 48% of Enterprises to Adopt Secure Access Service Edge (SASE)
(Source: Network World)
To protect their networks and data in the cloud. The increasing reliance on cloud services and the growing remote workforce have emphasized the need for a comprehensive security solution that addresses the challenges of modern business environments.
38. Over 50% of Security Incidents in the Cloud Result from Misconfigurations
(Source: IBM Security)
The cloud results from misconfigurations, highlighting the importance of properly setting up and managing cloud environments to minimize risks. As organizations increasingly adopt cloud-based solutions, ensuring the security and privacy of their sensitive data and applications becomes a top priority.
39. 90% of Organizations Plan to Increase Cloud Security Spending in 2023
They emphasize the growing recognition of the importance of protecting sensitive data and applications in cloud environments. As the adoption of cloud-based solutions continues to rise, businesses increasingly focus on enhancing their security measures to mitigate potential risks and safeguard their digital assets.
40. Cloud Security Skills Gap: 56% of Companies Struggle to Find Qualified Professionals
(Source: Cybersecurity Insiders)
The need for more skilled professionals with cloud security expertise has become a significant concern for organizations as they increasingly adopt cloud technology. This skills gap can result in a greater risk of security breaches, data loss, compliance violations, increased costs, and reduced efficiency.
Exploring the Latest Advancements in Cloud Computing Technology
There have been several breakthroughs in recent years in cloud computing technology, leading to new and innovative solutions for businesses of all sizes.
41. Quantum Cloud Computing: 45% Increase in Research Investments Over the Past 2 Years
Quantum cloud computing represents a significant shift in computing technology, combining the power of quantum mechanics with cloud computing to solve complex problems beyond traditional computers’ capabilities. This emerging technology has attracted significant attention and investment in recent years, with a 45% increase in research investments over the past two years.
42. Serverless Computing Adoption Grows by 32% as Businesses Seek Scalability and Cost Efficiency.
Serverless computing is a kind of cloud computing that allows organizations to run code without managing the underlying infrastructure. This approach to computing is growing in popularity, with a 32% increase in adoption as firms want to capitalize on its scalability and cost-effectiveness.
43. Edge Computing Market Projected to Reach $43.4 Billion by 2027, Growing at a CAGR of 34.6%
(Source: Allied Market Research)
The edge computing market is projected to expand significantly in the following years, reaching $43.4 billion by 2027. The rising demand for low-latency and real-time processing of data generated by IoT devices and the requirement for enterprises to handle and analyze vast volumes of data more quickly are driving this trend.
44. AI-Driven Cloud Services on the Rise: 58% of Enterprises Implement AI in Their Cloud Strategies
Artificial intelligence (AI) in cloud services is increasing, with many users and enterprises incorporating AI into their cloud strategies. According to a recent survey, 58% of enterprises have already implemented AI in their cloud strategies, and an additional 28% plan to do so in the near future.
45. Containerization Gains Momentum: 86% of Organizations Adopting Containers for Cloud Applications
The use of containerization technology is gaining momentum, with many organizations adopting containers for their cloud applications. According to a recent survey, 86% of organizations use containers for cloud applications, and 9% plan to do so soon.
46. Multi-cloud Strategies are Adopted by 93% of Enterprises to Enhance Business Agility and Innovation.
Multi-cloud strategies are becoming increasingly popular among enterprises, with 93% of organizations adopting multi-cloud approaches to enhance their business agility and innovation. Multi-cloud involves using multiple cloud services from different providers, allowing organizations to take advantage of the unique capabilities of each provider, reduce vendor lock-in and respond to changing business needs.
47. Green Cloud Computing: 76% of Companies Prioritizing Environmentally Sustainable Cloud Solutions
Green cloud computing is becoming increasingly important to companies, with 76% of organizations prioritizing environmentally sustainable cloud solutions. This shift towards green cloud computing is driven by an increasing understanding of the environmental effect of cloud computing and a desire to reduce the carbon footprint of their operations.
48. Hybrid Cloud Deployments Increase by 47% as Organizations Seek to Optimize Workloads and Resources
The use of hybrid cloud deployments is increasing, with a 47% increase in adoption as organizations seek to optimize their workloads and resources. Hybrid cloud involves using both public and private cloud services, allowing organizations to get the benefits of each cloud environment.
49. Function-as-a-Service (FaaS) Grows at 35% CAGR as Businesses Leverage Microservices and Event-Driven Architectures
(Source: Grand View Research)
Function-as-a-Service (FaaS), also known as serverless computing, is overgrowing, with a 35% Compound Annual Growth Rate (CAGR) as businesses leverage microservices and event-driven architectures. FaaS allows organizations to run code without managing the underlying infrastructure, making it an appealing alternative for companies seeking to boost their scalability and agility.
50. Blockchain in Cloud Computing: Adoption Rises by 52% for Enhanced Security and Data Integrity
The use of blockchain in cloud computing is increasing, with a 52% rise in adoption as organizations seek to enhance their security and data integrity. Blockchain technology provides a secure and decentralized ledger for storing data, making it an attractive option for businesses looking to protect sensitive information in the cloud.
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Sas Chatterjee is a Senior Architect with EPC Group. His focus lies in making sure that the execution of each engagement is delivered in a forward compatible, best practices manner. Sas is an extremely devoted professional and takes each project he is assigned very seriously. During the project execution phase, Sas invests the time needed with his clients to gain a full understanding of their requirements and develops a roadmap for achieving their desired end goal.