The global cloud computing market is poised for robust growth, with an anticipated compound annual growth rate (CAGR) of 16.32%, propelling it to a market valuation of US$1,235.408 billion by 2028.
Emergence of AI and Surge in OTT Platforms Drive Cloud Computing Industry
The landscape of cloud computing is undergoing a significant transformation, largely catalyzed by the burgeoning adoption of cutting-edge technologies such as artificial intelligence (AI) and machine learning. These innovations have seamlessly integrated into the realm of cloud computing, amplifying its reach and capabilities. Notably, the surge in AI adoption has become a pivotal driver of the market’s expansion.
Several pivotal factors are exerting substantial influence over the growth trajectory of the cloud computing market. Among these, the escalating emphasis on enhancing customer satisfaction, the imperative to streamline operational expenses, and the increasing need to manage capital outlays have emerged as prominent growth enablers.
Furthermore, the past few years have witnessed an unprecedented surge in demand for over-the-top (OTT) platforms, including big players like Prime Video, Netflix, and Hotstar, which have contributed significantly to the market’s proliferation. Simultaneously, the accelerated adoption of online communication tools such as MS Teams, Zoom, Zoho, and Skype has further amplified this growth momentum.
In response to the rapid pace of digitization, businesses across industries are compelled to revamp and modernize their existing infrastructural frameworks. This strategic overhaul aims to bolster cost-effectiveness and enhance adaptability to dynamic market demands. Looking ahead, the forecasted period anticipates a surge in investments towards the development of robust telecom and IT infrastructure, thereby providing an additional impetus to the expansion of the cloud computing market.