The findings of a recent study may point to a close connection between the rise of cloud computing and trends in the IT products and services industry.
The study, conducted by Business Monitor International, predicted that spending on IT products and services in the United States will reach approximately $671 billion by 2015. In 2011, spending in the sector is expected to hit approximately $552 billion.
The forecast figures were revised in light of BMI's findings in the third and fourth quarters of 2010. The third quarter saw slower-than-expected expansion, while growth once again accelerated in the fourth quarter. Nevertheless, BMI revised its predictions for slightly slower growth than previously expected.
According to BMI, many public and private organizations are now looking to cloud computing tools, such as remote storage and Software-as-a-Service, for greater IT efficiency. Many government agencies adopted cloud computing solutions in 2010, and this trend is likely to have a continued effect on IT spending, the report claimed.
A number of other factors are also expected to impact IT spending, including the expansion of mobile and fixed broadband networks, the increased popularity of virtualization, consolidation of data centers and the proliferation of new mobile devices, such as netbooks, tablets and e-readers.
The study predicted that the U.S. software market will hit a total value of approximately $158.8 billion in 2011. In the years from 2011 to 2015, the sector is expected to experience a compound annual growth rate of approximately 5.9 percent, reaching a total value of nearly $199.7 billion in 2015. Much of this spending is expected to be tied to cloud-based software solutions, as the cloud continues to expand.
The increasing prominence of cloud computing as an IT spending priority has been widely predicted. According to a recent Easynet Global Services study, 49 percent of CIOs intend to increase the level of their investments in cloud computing technology in the coming year.