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Infrastructure as a Service to Grow to Reach $4 Billion by 2015

Wed, 07/13/2011 - 9:19am

The cloud is a set of services and technologies that enable the delivery of computing services over the Internet in real time, allowing end-users instant access to data and applications from any device with Internet access. Although still in its infancy, gaining traction has not been a problem.  New In-Stat (www.in-stat.com) research forecasts that IaaS (infrastructure as a service) is set to grow to roughly $4 billion by 2015.

“Growth is expected in all public cloud service segments,” says Greg Potter, Analyst.  “Many SaaS (software-as-a-service) applications have been around for a long time, but only now since the advent of entire platforms for applications, such as Google Apps and Force.com, are these applications gaining the necessary visibility among businesses to gain traction in the software market.  Infrastructure-as-a-service is also gaining traction, especially in the small business market.”

Additional report data includes:

  • SaaS (software as a service) is poised to grow 142% between 2010 and 2015.
  • Overall public cloud computing (IaaS, SaaS, and PaaS) is set to grow 153% from 2010 to 2015.
  • Small business (5 to 99 employees) is the fastest growing size segment growing from $2.5 billion by 2010 to $6.6 Billion by 2015.
  • Small business account for over half of the market in SaaS and IaaS.
  • The top 5 vertical markets for IaaS in terms of 2011 market revenue will be hospitality and food, healthcare, social services, and retail trade.  The bottom 5 verticals will be mining, forestry, fishing, agricultural services, and utilities.

The In-Stat research,Cloud Computing and Managed Hosted Services: US Business Spending by Size of Business and Vertical, 2010-2015 (#IN1105027VSMSE) provides forecasts of US business cloud computing and managed hosting spending for the 2010–2015 period with detailed segmentation by product category, size of business, and vertical market. Details include public cloud services: IaaS, PaaS, SaaS; co-located services, and dedicated server services.

Forecasts are broken into the following size-of-business segments and sub-segments:

  • Home Office (1 to 4 employees)
  • Small Office (1 to 4 employees)
  • Small business (5 to 9 employees, 10 to 19 employees, and 20 to 99 employees)
  • Mid-sized business (100 to 499 employees and 500 to 999 employees)
  • Enterprise (1,000 to 4,999 employees, 5,000 to 9,999 employees, and 10,000 or more employees)

Forecasts are also broken down further into the following vertical markets:

  • Administrative and support services, waste management
  • Arts and entertainment
  • Construction
  • Education
  • Finance and insurance
  • Forestry, fishing, and agricultural services
  • Government
  • Healthcare and social services
  • Hospitality and food
  • Information and communication
  • Management of companies and enterprises
  • Manufacturing
  • Mining
  • Other services
  • Professional services
  • Real estate
  • Retail trade
  • Transportation
  • Utilities  
  • Wholesale trade


This research is part of In-Stat’s Cloud Computing and Managed Services Spending Forecast service and provides forecasts of US business spending on managed services with detailed segmentation by product category, size of business, and vertical market.

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