With each passing month the world is learning how to fight and survive the ongoing COVID-19 pandemic. Challenged by this unprecedented phenomenon experts are trying to project exactly how it is going to shape the future of the global economy. Scientists and analytics are focusing on global and regional logistics to map the road ahead so that society can reboot itself. The digital market might be the one field of human endeavor that rises to the occasion and even goes beyond. While the IT sector first took a hit back in March 2020 when people started self-isolating, specific segments of the technology market are now thriving. IT decision makers are pouring their efforts into modern tech solutions to help companies establish remote work infrastructure all throughout April and May. The cloud market for one has become a shining example of streamlining complex enterprise workflows during these difficult times.
Cloud Market Growth During COVID-19
That’s correct, the cloud market has seen significant growth during Q1 2020. Before we get into the specifics, let’s have a look at what big players are doing.
Microsoft appears to be in top form. Widespread isolation forced a vast majority of the global populace to work from home. Companies are now required to inject corporate-level efficiency into people’s homes. MS emerges with a vast range of helpful services and benefits from Microsoft Azure packages. In practice, the company’s communication platform, MS Teams, has seen a massive jump in usage. They are prioritizing cloud capacity in general, but beyond that are focusing on specific industries, primarily health organizations. “Top priority will be going to first responders, health and emergency management services, critical government infrastructure organizational use, and ensuring remote workers stay up and running with the core functionality of Teams,” said MS in an official blog post.
Additionally, the popularity of Microsoft Azure continues to climb. At the moment, the service is the public cloud favorite among enterprises. It was pointed out that 77% of enterprises regard MS Azure as a vital component to their current operations. Also, Office 365 is being rebranded into Microsoft 365, with the suite promising to offer additional AI-driven features.
Amazon made other efforts. Its subdivision, Amazon Web Services, is directing a whopping $20 million towards scientists who are working on diagnostics and testing for the highly unpredictable corona virus. AWS is also the number 2. choice, with 33% of enterprises claiming it’s a critical addition to their business operations.
Furthermore, the latest cloud market analysis has shown increased usage of Amazon’s cloud services, as the need for remote work climbs. Various AWS tooling proved helpful in the current situation, including:
- Amazon WorkSpaces: the service is achieving record highs, as companies upscale their work-from-home efforts in the wake of the corona virus pandemic. AWS WorkSpaces marks an avg. daily spend during March ‘20 +155% Y/Y versus +57% vs. February ’20.
- Amazon AppStream: Amazon is set to roll out 450 applications enabling students to study remotely in an easy-to-set-up manner.
- AWS COVID-19 Data Lake: the cloud industry giant instituted a centralized repository of fresh an curated datasets and characteristics about the corona virus and associated illnesses.
IaaS and SaaS Stats
Current data and reports on the economy and global market aren’t exactly painting a pretty picture. However, an increasing number of businesses are viewing cloud adoption as the perfect safe haven in an otherwise unstable financial climate. The latest statistics indicate that the cloud market is growing and hasn’t been devastated by COVID. Quite the opposite, in fact. IaaS/PaaS Cloud Infrastructure Services were dominated by MS, Amazon and Google. Also, the public cloud is taking center stage within the infrastructure, hardware and software realm. The steady growth has been noted during 2018, all through 2019, and in 2020.
Last year, MS has seen steady growth in the utilization of its cloud services. Emphasizing enterprise-grade SaaS – Microsoft, Salesforce, and Adobe are taking the lead, for cloud-based services. Recent data has also brought some staggering numbers to our attention. It appears that, as of February 5, 2020, the public cloud industry experienced a $1 trillion market capitalization, marking a 45% growth rate.
On the IaaS front, while AWS is in the lead, Microsoft Azure sports an impressive figure of 62% in annual growth. Conversely, enterprise SaaS vendor market share was also led by Microsoft, Salesforce, Adobe, SAP, Oracle. Accumulated statistics and data all point to the rather obvious expansion of the cloud market.
Lessons Learned from COVID-19
There’s absolutely no doubt that the coronavirus calamity is going to leave a major dent in the global economy. The devastating effects were felt in damn-near every corner of the world. When it comes to all the technology we’ve managed to create as a species, the cloud space is most certainly playing its part beautifully. The global population already experienced the biggest benefits of cloud market growth:
- Enhancing collaboration via native MS communication platforms.
- Accessing and scaling up firm-wide infrastructure regardless of GEO location.
- Improving security (learn more by registering for the next Hentsu Webinar Episode: Safety and Stability).
In closing, people are helping each other and reaching out to each other more than ever before. Companies and businesses continue to connect. The public cloud bridges the gap with limitless tooling, vast infrastructure scalability and functionality.
Webinar - Security with Microsoft 365 Tools
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