Top 10 Growth Opportunities in Cloud, 2025 Updated Research Available Updated Research Available Updated Research Available
AI, Data Protection, and Sustainability Goals Drive Provider and Enterprise Investments
18-Feb-2025
Global
Market Outlook
KB5A-01-00-00-00
IT_2025_1298
In 2025, organizations across all industries and geographies are focused on artificial intelligence (AI): specifically, how to reap the benefits while minimizing risks. The rapid evolution of AI technologies is driving investment throughout the stack: in infrastructure, processing and storage, data frameworks, cybersecurity, and AI-infused applications. For cloud hyperscalers, the opportunity lies in offering a diverse selection of foundational models for clients to choose from as they build their AI-powered applications. Also in 2025, organizations will continue to prioritize cost-containment and efficiency in their IT solutions. As their digitalization strategies mature, businesses are investing in technologies that will streamline operations, optimize resources, automate labor-intensive processes, and support sustainable business practices. They also remain focused on securing apps and data, across multiple platforms and infrastructures.
In this report, Frost & Sullivan outlines the top 10 growth opportunities that cloud service provider will focus on in 2025: Investing in LLMs and developer tools; enhancing data protection strategies; increasing use of low-code application platforms; supporting AI at the edge; optimizing IT and cloud resources; exploring alternative power; embracing hybrid storage; advancing sustainability; expanding cloud infrastructure; and increasing industry clouds.
Author: Lynda Stadtmueller
Strategic Imperatives
Top 10 Growth Opportunities
Growth Opportunity 1: Investing in LLMs and Developer Tools to Drive Enterprise AI Adoption
Growth Opportunity 2: Enhancing Data Protection Strategies and Tools with AI
Growth Opportunity 3: Increasing Use of and Expanding Functionality of Low-Code Application Platforms
Growth Opportunity 4: Allowing AI-Fueled Data Collection and Processing with Edge Compute
Growth Opportunity 5: Optimizing IT & Cloud Resources to Enhance Efficiency and Reduce Costs
Growth Opportunity 6: Exploring Alternative Power Options
Growth Opportunity 7: Embracing Hybrid Storage Configurations
Growth Opportunity 8: Advancing Sustainability by Driving Carbon-Neutral Data Centers and Cloud Solutions
Growth Opportunity 9: Expanding Cloud Infrastructure into New Geographical Regions
Growth Opportunity 10: Increasing Focus on Specialized Industry Clouds
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