Forrester issues cloud computing market predictions for 2018


Forrester, one of the influential research and advisory companies has issued cloud computing predictions for the next year.

Cloud computing, which is usually described simply as cloud, is defined an information technology which allows users and/or businesses to run workloads remotely over the Internet in a provider’s data center which includes a suite of hardware and software. According to Amazon AWS, which is one of the leaders in cloud computing, it can be described as „the on-demand delivery of compute power, database storage, applications, and other IT resources through a cloud services platform via the internet with pay-as-you-go pricing.”

There are several service models as well as deployment models for cloud computing. The most common service models include Software as a Service (Saas), Infrastructure as a Service (IaaS), Platform as a Service (Paas), integration Platform as a Service (iPaaS), Identity as a Service (IDaas), Functions as a Service (Faas), which is sometimes referred as serverless computing and others. Most commonly used deployment models include private cloud, public cloud, hybrid cloud and other less common like the community cloud, distributed cloud and multi-cloud.

Emerging as one of the key evolution of computing, the cloud computing is becoming one of the most important „new“ computing technologies.

Forrester, which has its focus on cloud computing market research has published its latest predictions for the next year. According to the research paper, titled „Forrester’s Predictions 2018: Cloud Computing Accelerates Enterprise Transformation Everywhere”, cloud computing will continue to grow with over half of all global enterprises switching and relying on public cloud platforms.

According to Forbes’ article (, Forrester’s 2018 cloud computing predictions say that the total global public cloud market will reach US $178 billion in 2018 and will continue to grow at a 22% compound annual growth rate (CAGR).

Big names like Amazon, Google and Microsoft will capture 76% of all cloud platform revenue in 2018 and reach 80% by 2020.

Microsoft, Oracle, and Salesforce will hold 70% of all Software as a Service (Saas) sales force automation and service subscription revenue.

Most SaaS vendors will compete on a platform level, running portion of their services on known cloud providers like Amazon AWS, Microsoft Azure, Google Cloud Platform and/or Oracle Cloud.

In its official blog post, Dave Bartoletti, Vice President and Principal Analyst at Forrester, has outlined some of the predictions as well as talk about cloud computing in general, saying how the cloud computing juggernaut has fueled digital transformation like no other technology before it.

With new analytics and machine learning services, IoT and edge computing services, powerful container-based development platforms, new database services, advanced SaaS apps, and general integration and API services, cloud computing will further evolve into becoming a mainstream enterprise core technology.

The same blog post also outlined the top 10 list of what can be expected with cloud in 2018:

  1. Don’t expect any new global megaclouds. Cloud is consolidating, so start planning now to mitigate lock-in risk.
  2. Your favorite SaaS vendors will expand to become true platform providers and make it even easier to consume their software.
  3. Cloud platforms outside North America will become more locally focused and target specific regional or industry needs.
  4. Kubernetes has won the war for container orchestration dominance and should be at the heart of your microservices plans.
  5. Zero Trust security will become even more tightly integrated with — and integral to the success of — all leading cloud platforms.
  6. Private and hybrid cloud spending will rebound after a slowdown, driven by a raft of new on-premises cloud solutions.
  7. Private clouds will get a new life as app development and modernization platforms, moving beyond IaaS.
  8. Cloud management solutions will be sold in parts or offered for free as competition heats up for the management plane.
  9. Enterprises will shift 10% of their traffic from carrier backbones to colocation and cloud service providers.
  10. Immersive lab-based training programs will take off as the best way to drive fast, real, and lasting change in how you build software.

Finishing it off, Forrester notes that cloud is evolving from cheap servers and/or storage and is becoming “the best way to turn great ideas into amazing software, faster”. In 2018, Forrester predicts that it will accelerate enterprise transformation everywhere and become a must-have business technology.

You can find and download the „Forrester’s Predictions 2018: Cloud Computing Accelerates Enterprise Transformation Everywhere” over at their website (client access is required).