Spending on cloud to jump 24%

Source: Xinhua | 2017-02-23

SPENDING on public cloud services worldwide is forecast to jump more than 24 percent this year due to rapid growth in Asia-Pacific, especially in China and Latin America, an industry report said yesterday.

Booming cloud applications in retail sectors, especially online, also boost revenue of Chinese firms, including Alibaba’s cloud business and startups like Shanghai-based Shopex Yunqi.

The global spending on public cloud services and infrastructure will surge 24.4 percent from a year ago to US$122.5 billion in 2017. The public cloud spending will grow 21.5 percent on average annually by 2020, when the expenditure is likely to hit US$203.4 billion worldwide, said International Data Corp, a US-based research firm.

The annual growth of above 20 percent by 2020 is nearly seven times the rate of overall IT spending growth, mainly coming from fastest growing regions like Asia-Pacific and Latin America, according to IDC.