Skip to main content
Add as a preferred source on Google


Report: Pandemic Investment in Cloud Infrastructure Will Have Lasting Impact

According to a new analysis, one of the “lasting impacts” of COVID-19 will be an increased reliance on cloud infrastructure in education and a few other sectors.

The report from market research firm International Data Corp. (IDC) stated that worldwide growth of cloud-based enterprise infrastructure grew at a greater rate than non-cloud — 12.5 percent versus 6.3 percent in the first quarter of 2021 compared with the same period in 2020. Cloud infrastructure reached $15.1 billion, versus $13.5 billion for non-cloud in Q1.

Cloud includes shared and dedicated. Investments in shared cloud infrastructure increased 11.6 percent year over year, reaching $10.3 billion. Spending on dedicated cloud infrastructure increased 14.7 percent in the same period, reaching $4.8 billion. According to the report, 45.5 percent of dedicated cloud infrastructure was deployed on premises.

Education is one of the sectors that will feel a lasting impact from COVID-19 on cloud enterprise infrastructure, the report noted: “A lasting impact on IT infrastructure will be an increased reliance on cloud platforms for delivering commercial, educational, and social applications, as well as an intensified focus among organizations on business continuity and risk management, helping to drive digital transformation initiatives and increase usage of as-a-service delivery models.”

The United States saw some of the slowest growth in cloud infrastructure in the first quarter, increasing 4.5 percent. Canada saw the greatest growth (40.3 percent), followed by China (35 percent).

For more information, visit IDC’s Worldwide Quarterly Enterprise Infrastructure Tracker: Buyer and Cloud Deployment.

About the Author

David Nagel is the former editorial director of 1105 Media's Education Group and editor-in-chief of THE Journal, STEAM Universe, and Spaces4Learning. A 30-year publishing veteran, Nagel has led or contributed to dozens of technology, art, marketing, media, and business publications.

He can be reached at [email protected]. You can also connect with him on LinkedIn at https://www.linkedin.com/in/davidrnagel/ .


Featured

  • Blue digital wireframe classical building structure

    Before AI, Fix Your Data

    Institutions don't have to solve every data problem before they can begin using AI responsibly. But they do need to treat information as a strategic asset — not a byproduct of operations — and start building toward AI-ready data now.

  • Digital cyberspace with particles and Digital data

    Report: AI Is Moving Faster than Data Trust

    AI agents are already in use or pilot at most organizations, but data visibility, governance and precision recovery capabilities have not kept pace, according to Veeam's new Data & AI Trust Gap report.

  • digital partnership handshake with glowing network effect

    Microsoft and OpenAI Rework Alliance, Loosening Exclusive Ties

    Microsoft and OpenAI have adjusted the terms of their high-profile partnership, signaling a shift in how the two companies will collaborate as competition in the AI market intensifies.

  • cyber security padlock

    AI Adoption Forces Trade-Off Between Speed and Identity Security, Study Finds

    AI adoption is forcing enterprises to trade security for speed — and identity controls are the first casualty, according to a new report from Delinea, a provider of identity security solutions for both human and AI agent identities.