Cloud Enablement

September 2017

Sectorwatch

According to Gartner, the worldwide public cloud services market will grow 18% in 2017 to $246.8B, up from $209.2B in 2016. Gartner predicts more cloud growth in the infrastructure compute service space as adoption becomes increasingly mainstream.  

Industry Trends:

  • Current revenue growth rate is less than the average of the last 3 years, indicating that the market may be flattening or declining
  • Current gross profit margin is less than the average of the last 3 years gross profit margins, indicating customer pricing power
  • Current EBITDA margin exceeds the average of the last 3 years EBITDA margin, a condition that may attract new entrants