2020 has been a difficult year for cloud spending. As businesses have felt the pinch, their plans for the implementation of new cloud technology have taken a back seat.
At the same, the necessity for organizations to have the digital tools and solutions they need to operate in today’s business environment is greater than ever, meaning tough decisions have to be made over priorities when it comes to tech investment.
We’ve put together this infographic to show how cloud spending has changed this year, what the most important solutions are for businesses to adopt, and what we can expect as far as investment goes in the coming years.
From ERP systems to productivity and collaboration suites to low-code development, the sky really is the limit on what an organization can implement today with cloud tech.
For more information about how tech solutions can help your business, download our free eBook, “Fast-Tracking Your Digital Transformation.”
Infographic written copy:
The State of SMB Cloud Spending in 2020
Prior to 2020, spending on cloud services by businesses was on the rise, with SMBs all over the country implementing new tech solutions to improve their processes, security, and market competitiveness.
But what effect has the pandemic had on cloud spending, and what can we expect going forward? We’ve put together this infographic to shed some light on the state of cloud spending this year. Take a look!
Worldwide public cloud revenue still growing
Despite SMBs tightening the purse strings significantly on their budgets, overall cloud spend is expected to grow 6.3%. This is still significantly lower than the increase between 2018 and 2019, which was 17% overall.
Desktop as a Service (DaaS) is the fastest-growing cloud service
Unsurprisingly, DaaS services, which allow people to remotely use their work applications, have increased in adoption dramatically, with revenue from DaaS doubling from $600 million to $1.2 billion over the last year.
Software as a Service adoption will regain pace in 2021
SaaS applications and service use by SMBs is up slightly over last year, with the market growing about $2 billion. Forecasts for 2021 suggest adoption will return to higher levels once businesses regain confidence in tech investments.
SaaS services remain the largest investment area for SMBs by far
Software as a Service applications are the priority for businesses. Despite a slower year, investment in SaaS services is more than double the amount put into Infrastructure as a Service (IaaS) or Platform as a Service (PaaS) solutions.
Businesses objectives for technology remain largely unchanged
Nearly half of SMB decision makers plan to accelerate their digital transformations, while a third have plans for better security and another third have plans to better support remote workers.
While cloud spending has seen reduced levels across the board in 2020, there is still a strong sense among SMBs that cloud technology is vital to business, and forecasts and suggest spending will pick back up to previous levels in 2021.