Spending will grow by about five times by 2015, much to some factions' glee

Sep 13, 2011 14:29 GMT  ·  By

The latest in the saga of analysts' estimates with the 2010-2015 time frame is one that involves the cloud computing segment and wireless service providers in equal measure.

Even though some parts of the IT industry aren't doing very well, like the DRAM sector, others are set to grow substantially over the next few years.

Cloud computing is one of these optimistic fields, and it looks like wireless service providers noticed, because they are said to be considering making web-based applications and virtual storage services which, along with enhanced data security and contingency backup plans, can help better compete with “traditional IT service providers” if they score good cloud deals.

“Cloud computing is a convenient, on-demand service over the Internet, through which users can pay for applications or storage space provided by a third party based only on the amount used,” said Jagdish Rebello, Ph.D., senior director and principal analyst for communications and consumer electronics at IHS.

Public cloud will reach $35 billion in consumer and enterprise spending this year, 52% higher than in 2010, though the figure is set to further increase, until it hits $110 billion in 2015.

“Cloud computing, while still having to address issues of compliance and security among others, is a game changer and a really positive paradigm shift from the perspective of any user. Imagine not having to commit ahead of time for such things as software expenses, storage capacity or application licenses—and instead paying for only what you use and dynamically updating the use of whatever you need.”

Google, Amazon and Dell are just three of the companies that already offer cloud services, and with Apple's iCloud now in play, things are only bound to keep going forward.

All in all, cloud services can enable MNOs (mobile network operators, another name for wireless service providers) to boost their revenues, provided they act quickly to build on the information about consumer preference that they possess.