Enterprises are expected to spend on average 34 percent of their IT budgets on cloud hosting and services in 2017, according to 451 Research. That’s up from 28 percent 2016.
The breakdown of cloud spending is as follows:
- 31 percent – infrastructure
- 42 percent – application services
- 14 percent – managed services
- 9 percent – security services
- 5 percent – professional services for cloud enablement
Liam Eagle, research manager at 451 Research, said that “the market for managed infrastructure and application services is a longer tail market, with greater opportunities for providers who emphasise expertise in operating, optimizing and securing the infrastructure and application products they deliver.”