Cloud services taking off as users embrace SaaS

The cloud services market is set to reach a global revenue of $68.3bn this year as customers continue to adopt Software as a Service (SaaS) application delivery models. The prediction of a worldwide market worth $148.8bn by 2014 comes from Gartner which uses the word "explosion" to descri

The cloud services market is set to reach a global revenue of $68.3bn this year as customers continue to adopt Software as a Service (SaaS) application delivery models.

The prediction of a worldwide market worth $148.8bn by 2014 comes from Gartner which uses the word "explosion" to describe the cloud activity among vendors and channel players.

"We are seeing an acceleration of adoption of cloud computing and cloud services among organisations and an explosion of supply-side activity as technology providers manoeuvre to exploit the growing commercial opportunity," said Ben Pring, research vice president at Gartner.

he said that the number of cloud deployments was growing and "multi-thousand-seat deals are increasingly common" and more firms are looking to make a strategic move towards the hosted option.

One of the positives for resellers is the rising popularity of SaaS, which vendors have been encouraging dealers to offer to users over the last 18 months.

"After many years of germination, most notably in the SaaS arena, the core ideas at the heart of cloud computing - such as pay for use, multi-tenancy and external services - appear to be resonating more strongly," said Pring.

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