In just a few years, cloud technology has become ubiquitous in the world of business because of its potential to reduce computing and energy expenses and increase system flexibility and scalability. The problem is that it can be very expensive for enterprises to adopt full-scale cloud networks, which limits the technology to large enterprises with higher budgets.
Cloud Software Services were developed in order to address this issue, and satisfy the needs of SMEs and more price-conscious customers. Cloud Software Services is essentially a distribution model in which applications are hosted by a vendor or service provider and made available to customers over a network. The vendor provides daily technical operation, maintenance, and support for the software provided to its client. One of the key benefits of this model is that the cloud services can be accessed by end-users on a pay-per-use basis so users pay only for the time the application is utilized.
Though it is relatively new, the cloud software services market has already grown into a multi-billion dollar industry, and it’s far from hitting its peak. Indeed, the Global Cloud Software Services Market is expected to more-than-double in value by 2016 at a CAGR of 24.02 percent. This huge growth is expected to be prompted by three primary trends:
#1. Emergence of Customized Cloud Services
#2. Increased Focus on Green Cloud Computing
#3. Increased Adoption of Cloud Software Services among Micro-SMBs
One of the primary benefits of cloud software services is its flexibility-in terms of its function, and pricing-and the above trends will only underscore this advantage even more. With that, we at TechNavio think it’s safe to bet that the Global Cloud Software Services Market will be flying high for many years to come.
For more information, view our 2012-2016 market research report on Global Cloud Software Services Market.
