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​NZ key as regional public cloud services market surpasses $7 billion

​NZ key as regional public cloud services market surpasses $7 billion

“Organisations continue to seek out IT solution delivery methods that are more responsive to changing business needs like public clouds."

The public cloud services market in the mature Asia/Pacific (AP) region is on pace to grow 8.7 percent in 2015 to total $US7.3 billion, up from $US6.7 billion in 2014.

With both New Zealand and Australia categorised as mature markets - alongside Singapore and South Korea - Gartner claims that cloud management and security services continues to be the fastest growth segment of the public cloud services market in the mature AP region.

As a result, the analyst firm states that revenue is projected to increase 21 percent in 2015 to $US234.3 million.

“Organisations continue to seek out IT solution delivery methods that are more responsive to changing business needs like public clouds,” says Fred Ng, senior research analyst, Gartner.

“Key factors driving cloud include organisational agility, cost benefits, increased innovation with the potential for transformation, and elements of user self-service and control when using cloud.

“Speed of deployment is also a primary driver of cloud usage, potentially capable of reducing setup time from days/weeks to days/hours.”

In 2015, public cloud spending in the mature AP region will be just under Japan’s cloud spending of $US7.3 billion.

By 2019, Gartner predicts that total public cloud services spending in the mature AP region will rise to $12.9 billion.

Within the next three years also, Gartner predicts that business process as a service (BPaaS) cloud services will make up 7.7 percent of the overall public cloud services market in mature AP while platform as a service (PaaS) will represent 2.7 percent of the market.

In addition, software as a service (SaaS) will be at 25.7 percent, cloud management/security services at 3.8 percent, infrastructure as a service (IaaS) will be at 8.3 percent, and the remaining 51.8 percent will come from cloud advertising.

Through 2019, Ng believes SaaS and cloud management and security will be among the fastest growing public cloud services.

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