Hybrid cloud will be largest cloud segment: analyst firm TechNavio

Hybrid cloud will be largest cloud segment: analyst firm TechNavio

Summary: The hybrid cloud market is forecast to top $US79.12 billion by 2018, says a new report from the analyst outfit.


Hybrid cloud will make up the largest and most used segment of the cloud computing market in coming years, according to the report.

TechNavio says the hybrid cloud market was valued at a moderate $US21.18 billion in 2013, with North America contributing the majority of the revenue, followed by Europe and Asia Pacific. The report found that there is currently higher adoption of hybrid cloud in the government, BFSI (banking, financial services, and insurance), retail, telecom, healthcare, and media and entertainment sectors.

However, the report expects that nearly half of large organisations will have hybrid cloud deployments by 2017 as enterprises look to boost productivity by hosting critical applications on private clouds and applications with less security concerns on the public cloud.

The report also highlights increasing adoption of hybrid cloud by SMEs, suggesting that many SMEs have limited access to internet bandwidth and are likely to preference hybrid because it lets them “use applications and store data wherever required." 

TechNavio notes that while the market has several drivers, there will be some key challenges for the hybrid cloud model that could stunt the rapid adoption rate expected over the next five years - namely the need to ensure business continuity and latency in data transfer.

The report, which also surveyed 100 cloud companies from around the globe, says enterprises and SMEs can resolve data segmentation hurdles by employing analytics software and building on current IT policies to include data allocation between public and private clouds. The majority of respondents said that although many companies are planning to implement such protocols, “there are still a lot of businesses that have little to no protocols in place."

Topic: Cloud

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  • Finally, a well reasoned report!

    Finally a balanced report! I'm so tired of rabid public cloud fanatics suggesting that if you do not have their irrational view, you are behind the times. No it won't be nothing but the public cloud in the future. It will be both private and public, with most of the wealth generated by the private cloud. Why? Because that is the way things are in free economies. That is the way they have always been; that is the way they will always be. To understand the future, you must look to the past, and pay attention to the lessons they reveal.
    P. Douglas
  • Cloud Reality is Taking Shape

    This report gives some credence to hybrid cloud adoption and the rabid public cloud fanatics mentioned above need to take heed. The truth is, the rapidly approaching future has some degree of compute, networking and storage run locally and tied into the public cloud on the back end. How much of each depends on a variety of factors in each business. Now, include Moore's Law into this mix and the on-prem computing is compact and low-wattage and represents significant energy and cost savings over current systems. Platforms like Nutanix, CriKit, Marvin, Canonical Orange Box and others will be commonplace. Then, these low-wattage systems will become solar and wind powered so they never go down due to lack of electricity and then they become easily portable. Mini-cloud datacenters in vehicles that handle tens of thousands of users will emerge and completely new uses for that kind of remote portable computing will be applied. Think of school buses with solar panels and a mini-datacenter in each one so multiple buses act as a cluster of clouds while connecting back into the public cloud. What types of competitions could be created between schools with their own clouds? Imagine an entire medical teaching library with videos on how to do surgery and diagnose and test for and heal rare diseases and it runs in a small van with solar panels connected to the internet via satellite or something like Kymeta. The capability is here now, it just hasn't been done yet, but it will soon, very soon.
    Cloud Guy
  • Nice Article with Statistics

    Thanks Krishan for sharing such a nice post with us. You explained the topic well with the statistics as well. Really Cloud Servers serve all the industries large medium and small. And according to your report Hybrid cloud will serve well in future.