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$4.79 Billion Market Expected as Companies Leverage the Cloud to Support Digital Transformation Strategies
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The Latin American Infrastructure as a Service (IaaS) market has been witnessing changes in the consumer mindset towards cloud computing. Companies of different sizes and across a variety of verticals are increasingly understanding the benefits of the IaaS business model and are making investments in the cloud. The strategy of shifting capital expenditure into operational expenditure is attractive in today’s economic environment. As opposed to investing money in expanding capacity, companies are turning to cloud services. The hosted private cloud still has an important place in the Latin American IaaS market. The public cloud will grow at high rates throughout the forecast period, driven by the positive cost benefits relation it presents and by the increasing number of cloud native applications. However, the largest growth opportunities will emerge from the hybrid deployment model. In order to extract the most of the cloud, companies are increasingly investing in hybrid infrastructures that combine multiple configurations, such as on-premise private cloud, public cloud, hosted private cloud, and bare-metal cloud. Other trends that tend to create new opportunities in the region are managed services offerings and the growth of multicloud providers.Research Methodology & Scope:Frost & Sullivan conducted detailed primary interviews with leading cloud service providers, analyzed their quarterly and annual reports, and utilized internal databases to perform a detailed revenue analysis of the IaaS market. The resulting revenue market size reflects a sum total of our estimates for individual companies.In this research Frost & Sullivan examines the IaaS market in six Latin American countries—Argentina, Brazil, Chile, Colombia, Mexico, and Peru—and covers public and hosted private infrastructure as a service. The report also provides a product break between computing as a service and storage as a service. The study period is from 2015 to 2021 with a base year of 2016.The study examines the current competitive landscape, market drivers and restraints, and market development stage. This research also provides insights regarding growth opportunities and emerging trends that will affect market participants over the forecast period.Key questions this study will answer:• What is the total size of the IaaS market in Latin America and how is it expected to grow from 2016 to 2021?• What are the main growth drivers for IaaS in Latin America? Which restraints should providers overcome to gain market share?• How are the growth perspectives in the two main segments, Computing as a Service and Storage as a Service?• What is the rate of IaaS adoption across Latin American countries and how is this expected to change over the forecast period?• What are the main providers in the IaaS market in Latin America?
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