Australian spending on public cloud services is forecast to reach $6.5 billion this year, buoyed by growth in infrastructure services.
Research from Gartner predicted public cloud spending is expected to increase 19 percent from $5.4 billion last year, with software-as-a-service representing the largest proportion of the spend.
Infrastructure-as-a-service is expected to see the most growth, with spending to reach $652 million in 2019, up 27 percent from $511 million the year prior.
“Organisations need cloud-related services to get onboarded onto public clouds and to transform their operations as they adopt public cloud services,” Gartner research vice president Sid Nag said.
“As cloud continues to become mainstream within most organisations, technology product managers for cloud related service offerings will need to focus on delivering solutions that combine experience and execution with hyperscale providers’ offerings.”
IaaS is also forecast to be the fastest growing market segment globally, expected to grow 27.5 percent in 2019 to reach $38.9 billion, up from $30.5 billion in 2018. The total public cloud spending forecast for 2019 is $214.3 billion.
Gartner said more than a third of organisations see cloud investments as one of its top three investment priorities, according to its recent surveys. It expects more than 30 percent of technology providers’ new software investments will shift from cloud-first to cloud-only at the end of the year.