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Cloud Computing the Bulk of New IT Spending by 2016

By Daniel Santa Cruz
October 28, 2013 - News

By 2016, cloud computing will make up the largest chunk of new IT spending.

So say the researchers at Gartner, who predict that the hybrid cloud will really start to emerge in 2016 and be deployed in nearly half of all large enterprises by the end of 2017.

As it stands now, private clouds are the most common form of the cloud across many sectors. But the private cloud is not necessarily appropriate for all services. While the majority of midsize and large enterprises plan on deploying private cloud services in the coming years, it will still only be used for specific services. Hybrid is the new kid on the block.

"Overall, there are very real trends toward cloud platforms, and also toward massively scalable processing. Virtualization, service orientation and the Internet have converged to sponsor a phenomenon that enables individuals and businesses to choose how they'll acquire or deliver IT services, with reduced emphasis on the constraints of traditional software and hardware licensing models," said Chris Howard, research vice president at Gartner. "Services delivered through the cloud will foster an economy based on delivery and consumption of everything from storage to computation to video to finance deduction management."

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