As COVID-19 hit several parts of the world, businesses understood that the only way around survival is to pivot. With research and analytics thereafter, it was found that digital transformation efforts fuelled business growth. This highlighted the ability of cloud computing.
It is now certain that organizations that tap into the power available from the cloud position themselves intelligently for business growth. That’s because the cloud fast tracks business growth for startups and accelerates development for organizations that are on the cusp of expansion. Equally, it gives organizations the chance to be more flexible and allows established companies to reinvent, co-create and collaborate, prototype, and innovate in ways which they may not have considered before.
The reason behind the definite growth of businesses with cloud-based digital transformation strategies is that it offers great opportunities, including:
– Reduced costs
– Chances to capitalize on greater computational resources
– Replacements for aging back-office applications
– Flexibility to scale up or down according to business needs
– Ability to handle enormous volumes of data coming from IoT-related digital sensors
– Resources to support the use of artificial intelligence and other technologies that identify business opportunities, solve operational problems, and provide winning customer experiences.
Did you know cloud infrastructure as a service (IaaS) has been the top contributor to the overall public cloud spend during 2020, making up around 48% of the overall cloud investment? It is now expected that cloud IaaS will remain the highest throughout the forecast period of 2021-2024. That being said, Software as a Service (SaaS) is positioned as the second largest in terms of spending on cloud computing with a share of around 40%, followed by Platform as a service (PaaS) with an 11% share in overall public cloud spend during 2020.
These projections are expected to further grow as enterprises are leveraging SaaS solutions that cover collaboration, productivity, and IT security to support ‘remote working’ and the ‘hybrid workforce’ phenomena. Similarly, PaaS spending will be led by Data Management Software, which will record a 5-year CAGR of 41.2% during 2019-2024.
Conclusion: Companies using cloud computing can run their business on it, change their business through it, connect with customers, and improve the lives of their employees. That being said, it is certain that the cloud supports all kinds of digital transformation initiatives. It provides agility, access to innovative analytics applications, and keeps you ready for testing environments so as to keep you on track of creating and testing new products and services.
Recommended Read: Is Cloud Computing Necessary for Continuity of Businesses? How?