Managed cloud services market to reach $70 billion by 2023

CenturyLink Stream Devices

The global market for managed cloud services is set to grow to almost $70 billion, according to a new report by Report Linker

That represents a growth of more than 15 per cent a year from its size of $25 billion in 2016, says the researcher.

The main driver of the growth will be the increasing adoption of cloud services and technologies, adds Report Linker.

The financial sector – banking, financial services and insurance – is currently the largest revenue generator, and is set to continue to be a growth area.

Among the key companies in the sector the report highlights are Accenture, AT&T, CenturyLink, Fujitsu, Microsoft, Hewlett-Packard Enterprise, NEC, VMware, and NTT Data.

Of those, CenturyLink recently upgraded its managed private cloud service using VMware and HPE technologies for hyper-converged infrastructure.

The CenturyLink says it now offers a fully private service based on VMware Cloud Foundation and high-performance HPE ProLiant servers – on updated software-defined data centre architecture.

David Shacochis, vice president of hybrid IT product management, CenturyLink, says: “With today’s digital economy fueling increased demands on IT infrastructure, the latest enhancements to our Dedicated Cloud Compute service, based on VMware Cloud Foundation, build on CenturyLink’s proficiency in helping enterprises in their digital transformation.

“The software-defined datacenter approach enables the flexible delivery of enterprise applications connected to our global network across 32 hosting locations on four continents. With this service, businesses can rapidly deploy new workloads and innovations in an easily scalable, highly secure environment.”

Geoff Waters, vice president, global cloud sales, VMware, says: “The impact of cloud is undeniable, reshaping the way IT operates, the way IT functions as an organization and the role IT plays within the business.

“Working with partners such as CenturyLink, VMware’s cloud strategy is to help customers run, manage, connect and secure their entire application portfolio across clouds and devices, leveraging a common operating environment.

“Together we will help our mutual customers drive digital transformation and gain the greatest advantage from cloud computing.”