By 2020, public cloud spending will surpass $195 billion, according to research firm IDC, more than double the projected 2016 spending level of $96.5 billion.
In 2015, Software-as-a-Service (SaaS) and Platform-as-a-Service (PaaS) generated nearly 84 percent of cloud revenue, but Infrastructure-as-a-Service (IaaS) and PaaS are growing at a faster rate than SaaS.
Cloud software product delivery will grow over the next five yeras nearly three times faster than the software market as a whole, IDC research analyst Benjamin McGrath said.
After surveying 20 industries across eight regions and 54 countries, IDC found that the industries leading the way in public cloud spending are discrete manufacturing, banking, and professional services. The industries with the fastest revenue growth over the next five years are media, telecommunications and retail.