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Data Center News > Blog > Global Market > AI drives spending on cloud infrastructure, IDC reports
Global Market

AI drives spending on cloud infrastructure, IDC reports

Last updated: April 2, 2024 8:33 am
Published April 2, 2024
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The excessive demand amongst hyperscalers and main service suppliers additionally skewed the info in direction of the general public cloud aspect of the equation, IDC’s knowledge confirmed. “Shared” cloud infrastructure, which largely covers public cloud-type deployments, noticed 27% progress in comparison with a 12 months earlier, reaching $22.8 billion. That additionally represents practically 45% of complete worldwide infrastructure spending, cloud or non-cloud. Against this, “devoted” cloud, which is usually non-public cloud infrastructure, grew by a mere 1.4% over the identical timeframe, to $9 billion.

“A lot of the spending continues to be focused on the general public cloud space,” Fernandez stated.

Don’t rely out non-public cloud progress

However, Fernandez famous, non-public cloud will stay vital for the foreseeable future, not least as a result of the rank and file of cloud customers – not the hyperscalers and repair suppliers – has a big and probably rising want for it.

“All the pieces that continues to be [on-premises or in private cloud] is there for a motive,” she stated. “In lots of circumstances, the explanations are privateness, compliance and safety.”

Loads of workloads which can be mission-critical – notably these topic to trade particular regulation or new common rules in jurisdictions just like the EU – haven’t solely been stored in non-public or on-prem deployments, however many which were moved to the general public cloud are being “repatriated,” Fernandez stated.

“Should you see the numbers total, they continue to be comparatively steady when it comes to spending,” she stated. “That infrastructure must proceed being sustained and deployed and refreshed at a sure tempo.”

See also  Agentic AI drives finance ROI in accounts payable automation

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