Global Cloud Industry Outlook worth $1,256.8 billion by 2025 According to a research report "Global Cloud Industry Outlook 2025: A Preview of the Future of Cloud Innovation" published by MarketsandMarkets, the global cloud industry will grow from USD 1,091.4 billion in 2024 to USD 1,256.8 billion by 2025 at a YoY increase of 15.1%. Cloud Service Providers’ (CSPs’) focus on multi-cloud and hybrid strategies primarily drives the cloud industry in 2025. Looking ahead, the cloud landscape is set for a transformative shift, characterized by the widespread adoption of generative AI, increased competition, and heightened demand for industry-specific solutions. Cloud developments in 2024 and upcoming predictions in 2025 The cloud market is set for continued growth, driven by increasing adoption in emerging economies and expanding cloud implementations by BFSI firms through both organic and inorganic initiatives. More organizations are turning to multi-cloud and hybrid strategies to boost flexibility and resilience. Meanwhile, the integration of Generative AI with cloud platforms is driving new innovations in services and applications, as competition among Cloud Service Providers (CSPs) heats up, resulting in more specialized and competitive offerings. As cybersecurity risks in the cloud grow, security and compliance will become top priorities. The demand for industry-specific cloud solutions will rise, with retail expected to see the highest growth in the coming years. This growth is reflected in the IT services spending, projected to rise from $1.59 trillion in 2024 to $1.74 trillion in 2025, highlighting the increasing demand for cloudbased solutions across industries. Cloud-native technologies like containers will play a critical role, and managing complex hybrid infrastructures remains a key challenge for CSPs striving for seamless operations. Market Players AWS, Microsoft, Google, Salesforce, and IBM are the major players in cloud industry, with a 35.1% combined market share in 2023. Other prominent market players are Oracle, SAP, Alibaba Cloud, Adobe and Tencent Cloud. In 2024, key CSPs strive to maintain their cloud leadership positions with new product launches and product enhancements, Gen AI advancements, and strategic deals, partnerships and collaborations. In 2025, cloud providers will continue investments in advanced security and sovereign cloud, hike cloud service prices, launch cloud regions in unexplored countries, and focus on industry-specific cloud offerings. North America leads the Cloud Industry, and Asia Pacific experiences the highest YoY growth. North America dominates the cloud market, as most major CSPs are headquartered in the United States; they are driving the continued adoption of cloud AI, analytics, and digitalization across sectors ranging from healthcare and finance to retail. Europe remains stable in its growth due to market demand for compliance, security, and regulatory solutions that the cloud provides, as well as governmental digital initiatives. Asia Pacific sees the highest year-over-year growth, driven by rapid digitalization, cloud migration in emerging markets, and robust government support. The Middle East and Africa are experiencing significant growth, particularly in the energy and government sectors. Latin America is expanding due to rising demand for cloud services in e-commerce, education, and digital services.
About MarketsandMarkets™ MarketsandMarkets™ has been recognized as one of America’s best management consulting firms by Forbes, as per their recent report. MarketsandMarkets™ is a blue ocean alternative in growth consulting and program management, leveraging a man-machine offering to drive supernormal growth for progressive organizations in the B2B space. We have the widest lens on emerging technologies, making us proficient in co-creating supernormal growth for clients. Earlier this year, we made a formal transformation into one of America's best management consulting firms as per a survey conducted by Forbes. The B2B economy is witnessing the emergence of $25 trillion of new revenue streams that are substituting existing revenue streams in this decade alone. We work with clients on growth programs, helping them monetize this $25 trillion opportunity through our service lines - TAM Expansion, Go-to-Market (GTM) Strategy to Execution, Market Share Gain, Account Enablement, and Thought Leadership Marketing. Built on the 'GIVE Growth' principle, we work with several Forbes Global 2000 B2B companies helping them stay relevant in a disruptive ecosystem. Our insights and strategies are molded by our industry experts, cutting-edge AI-powered Market Intelligence Cloud, and years of research. The KnowledgeStore™ (our Market Intelligence Cloud) integrates our research, facilitates an analysis of interconnections through a set of applications, helping clients look at the entire ecosystem and understand the revenue shifts happening in their industry. To find out more, visit www.MarketsandMarkets™.com or follow us on Twitter, LinkedIn and Facebook. Contact: Mr. Rohan Salgarkar MarketsandMarkets Inc. 1615 South Congress Ave. Suite 103, Delray Beach, FL 33445 USA: +1-888-600-6441 Email:
[email protected]
