A recent report by Canalys revealed that organizations in the US spent more than $18 billion on cloud services in only the first quarter of 2021.
Indeed, it was stated that this growth in spending was the highest seen in two years, showing the strong demand for cloud infrastructure services. This growth can be explained by the fact that many enterprises have been restarting cloud migration projects that were put on hold or delayed during the pandemic.
It was also reported that the demand for digital services kept on rising due to ongoing remote work and learning, content streaming, online gaming, and e-commerce.
The study showed that the United States was the largest market for cloud infrastructure services last quarter, representing 44% of global spending. The government also noted the cloud spending will increase as the US is focusing on modernizing technology and strengthening cybersecurity.
As a result of the rise in cloud spending, the major cloud providers have been expanding infrastructure and building out their dedicated services across the U.S. Amazon Web Services (AWS), Microsoft Azure, and Google Cloud, are collectively accounting for 69% of all spending.