Massive shift to hybrid infrastructure services underway

The growth of cloud and industrialised services and the decline of traditional data centre outsourcing (DCO) indicate a massive shift toward hybrid infrastructure services, according to Gartner.

In a report containing a series of predictions about IT infrastructure services, Gartner analysts said that by 2020, cloud, hosting and traditional infrastructure services will come in more or less at par in terms of spending.

“As the demand for agility and flexibility grows, organizations will shift toward more industrialised, less-tailored options. Organisations that adopt hybrid infrastructure will optimise costs and increase efficiency. However, it increases the complexity of selecting the right toolset to deliver end-to-end services in a multisourced environment,” said DD Mishra, Research Director of Gartner.

Worldwide traditional DCO spending is expected to decline from US$55.1 billion in 2016 to US$45.2 billion in 2020. Cloud compute services, on the other hand, are expected to grow from US$23.3 billion in 2016 to reach US$68.4 billion in 2020.

Spending on co-location and hosting is also expected to increase, from US$53.9 billion in 2016 to US$74.5 billion in 2020. In addition, infrastructure utility services (IUS) will grow from US$21.3 billion in 2016 to US$37 billion in 2020 and storage as a service will increase from US$1.7 billion in 2016 to US$2.7 billion in 2020.

In 2016, traditional worldwide DCO and IUS together represented 49 percent of the US$154 billion total data centre services market worldwide, consisting of DCO/IUS, hosting and cloud infrastructure as a service (IaaS). This is expected to tilt further toward cloud IaaS and hosting, and by 2020, DCO/IUS will be approximately 35 percent of the expected US$228 billion worldwide data centre services market.

“This means that by 2020, traditional services will co-exist with a minority share alongside the industrialised and digitalised services,” said Mishra.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s