Cloud computing has emerged as the core foundation of this renewed business technology focus, leading to Asia-Pacific public cloud services spending growth of over 38 percent to $36.4 billion in 2020, according to the latest market study by International Data Corporation (IDC).
Cloud Infrastructure as a service (IaaS) has been the top contributor to the overall public cloud spend during 2020, making up around 48 percent of the overall cloud investment — and it is expected to remain the highest throughout the forecast period of 2021-2024.
However, Construction and Professional Services — due to increased focus on external-facing interactions and customer experience — will see the fastest growth in public cloud spending with a five-year CAGR of 39 percent and 35 percent respectively.
From a geographical perspective, China was the largest market for public cloud services in 2020 with its $19.4 billion investment that accounted for about 53.4 percent of the Asia-Pacific total.
Australia ($5.2 billion) and India ($3.5 billion) will be in second and third place respectively in terms of cloud infrastructure and service spending in the region, driven by fast adoption across enterprises and the presence of global hyperscale public cloud providers.