How Many Companies Use Cloud Computing in 2024? Answer: 94%!

Cloud computing is the term to describe storing and accessing information over the internet.

All computer users need storage, it allows you to save your files for future reference.

While an individual can use the memory on their home computer, that’s not usually enough for a business.

They need bigger memories and processing power. That involves purchasing dedicated servers and other IT equipment.

This can be expensive and require regular maintenance and updating. 

Many businesses are now choosing to use cloud computing instead. This means all the data is stored online.

The biggest benefit for businesses and individuals is that the information can be accessed from anywhere, provided you have the right passcodes. 

Once you appreciate the benefits of cloud computing you’ll want to switch and say goodbye to storing files on hard drives. 

The following statistics will help you understand the popularity of cloud computing.

You’ll likely be surprised by how many companies use cloud computing!

Key Statistics

• 94% of businesses already use cloud computing
• In 2021 the cloud computing market was worth $369 billion
• Amazon Web Services dominates the cloud computing market
• The global pandemic caused a mass migration to the cloud
• 70% of businesses plan to increase spending on cloud computing
• Enterprise cloud spending is expected to grow by 14% in 2024
• By 2025 it’s estimated over 100 zettabytes of data will be on the cloud
• The largest data centre in the world is in Tahoe Reno, Nevada
• Google drive is the most commonly used cloud storage service
• Most businesses have adopted a multi-cloud strategy

How Many Companies Use Cloud Computing in 2024?

1. 94% Of Businesses Already Use Cloud Computing

In 2021 Statista estimated there were over 333 million businesses operating across the globe.

According to their study, 94% of these businesses are already using cloud computing in some form or another. 

Naturally, this high figure was significantly helped by the global pandemic.

Remote working forced businesses to use platforms like Google Drive to share documents. 

Despite 94% of businesses using the cloud, there is still massive room for growth.

This is because some businesses are simply sharing documents, others just storing information, and a few have everything on the cloud. 

As investing in cloud computing costs money, it’s likely there will be a gradual increase in reliance on the cloud over the next 5-10 years.

At which time it’s likely that nearly 100% of businesses will be using cloud computing.   

(Statista)

2. In 2021 The Cloud Computing Market Was Worth $369 Billion

The cloud computing industry has exploded in recent years. In 2021, during the pandemic, the industry was said to be worth $369 billion.

A large chunk of this value comes from the US, it accounted for 40% of the total spend. 

As businesses rely more and more on the cloud, the industry will continue to grow.

Current estimates suggest it will be worth $947 billion by 2026 and a staggering $1.5 trillion by 2030.

At that point it will be one of the largest industries in the world. 

It’s interesting to note that financial services are currently the biggest cloud computing client.

They have 21% of all cloud computing services. 

(Gartner)

3. Amazon Web Services Dominates The Cloud Computing Market

Cloud computing services have become very popular since 2020 and this shows no sign of abating. 

However, it’s not a new thing. Cloud computing has been offered for many years and one player has quietly dominated the market. 

Amazon offers its own Amazon Web Services (AWS).

This allows businesses and individuals to host sites, store data, network, connect remote computers, and even improve mobile developments. 

Currently, AWS accounts for 33% of cloud computing customers.

Its closest competitor is Microsoft Azure with 21% of the market.

Google Cloud has just 10% and, the number eight business on the list, Oracle, has a small 2% share. 

Jeff Bezos, the founder of Amazon and AWS, believes their dominance is thanks to a lack of competition in the early years.

As more companies offer these services it may prove harder for AWS to keep the top spot. 

(Statista)

4. The Global Pandemic Caused A Mass Migration To The Cloud

Cloud computing has been steadily growing in popularity.

Then, in late 2019, the world was hit by covid and everything changed. 

Lockdowns prevented many businesses from operating normally.

The only way to stay afloat was to create remote working environments. 

Of course, many businesses were not set up for this. It resulted in a mass movement to the cloud. 

Statista estimates that 80% of company workloads were switched to cloud-based within the first half of 2020. 

It transformed the industry and, for most businesses, the cloud computing and remote working approach is still more efficient and is worthwhile.

That’s still true today with people returning to offices and physical places of work. 

(Statista)

5. 70% Of Businesses Plan To Increase Spending On Cloud Computing

A recent survey by Gartner looked at the number of businesses using cloud computing in 2020 and their plans for the future.

Seven out of ten of the businesses interviewed were looking to increase their reliance and spending on the cloud. 

Obviously, this was heavily influenced by the pandemic.

However, even after the pandemic has subsided, many people continue to work from home and companies need to improve the service they offer to employees. 

This inevitably means improving the virtual working environment and, for most businesses, that requires investment. 

As the work-from-home market continues to expand, and businesses worry about data security, cloud computing will become an even more attractive option. 

In short, 70% of businesses are looking to spend more on cloud computing, this figure is likely to increase in future years. 

(Gartner)

6. Enterprise Cloud Spending Is Expected To Grow By 14% In 2024

Businesses are already heavily invested in cloud computing.

Naturally, there is a subscription charge to use the service.

This has been accepted by businesses and individuals and is considered normal.

For each business the charge is minimal, in relation to other costs.

However, for the IT industry which provides this service, it totals billions of dollars.

It’s currently estimated that the continued increase and use of cloud computing will equate to a 14% increase in spending by businesses. 

In 2020 the increase was 10%, meaning the industry is still booming.

By 2025 the public cloud computing industry alone is expected to be worth over $800 billion.

(Gartner)

7. By 2025 It’s Estimated Over 100 Zettabytes Of Data Will Be On The Cloud

With so many businesses and individuals using the cloud it’s hardly surprising that it contains a huge amount of data. 

What may surprise you is the sheer amount of data being held by the cloud. 

The latest estimates put data levels at 100 Zettabytes of data by 2025 and the possibility of 200 Zettabytes by the end of 2025!

If it helps, zettabyte is not a made-up word. It means a billion terabytes or a trillion gigabytes. 

That’s a colossal amount of data even in an increasingly digital world. 

(Cybersecurity Ventures)

8. The Largest Data Centre In The World Is In Tahoe Reno, Nevada

As a customer of cloud computing you’re content that your files are securely saved on the cloud. 

However, cloud computing services still have to store that data and this is done on physical servers.

The difference is the company is dedicated to storing data.

As such, the storage facilities are huge and well-protected, allowing you to access the data you have on them at any time or place you want. 

In short, physical data centers are still needed, the largest of which is called the Citadel and is located in Nevada. 

It is roughly 1.3 million square feet but will eventually be 7.2 million square feet. 

(Wikipedia)

9. Google Drive Is The Most Commonly Used Cloud Storage Service

If you think about cloud storage then you may not even consider Google Drive, although it is a cloud storage solution.

That’s because it is so commonly used people don’t think about how it works, just that it does. 

Google Drive isn’t just the most commonly used cloud storage service, it’s overwhelmingly so.

It’s used by 94.4% of businesses.

Dropbox is the second most used with 66% of businesses utilizing its services. 

Other contenders include OneDrive, iCloud, and MEGA.

But none of these are even close to Google Drive’s customer base. 

The latest figures show that Google Drive surpassed one billion users in 2018 and is currently on track to hit three billion users!

(Goodfirms)

10. Most Businesses Have Adopted A Multi-Cloud Strategy

Businesses which use the cloud appreciate the benefits of cloud computing, but are also aware of the risks.

The biggest risk isn’t a security breach, it’s the service being offline and the business being unable to access critical information. 

The safest approach is to avoid placing all your eggs in one basket.

In other words, businesses need to use more than one cloud computing service provider.

This mitigates the risk and allows the business to keep trading even if the service is down or data lost.  

Surprisingly, a recent survey by Flexera revealed that 92% of businesses using the cloud already have a multi-cloud strategy.  

It’s an effective disaster-recovery plan.

(Flexera)

Benefits Of Cloud Computing

Cloud computing wasn’t just the answer to difficult working conditions brought on by the pandemic.

It offers an array of benefits:

Flexibility

Cloud computing makes it easier to cater to your employees and customers.

You can offer the services they need to complete their job or make purchasing products easy. 

Using the cloud ensures all necessary files can be accessed from anywhere, all you need is an internet connection and a suitable connection device. 

Cost-Effective

Using the cloud is generally cheaper than purchasing your own servers and the cost of maintaining them. 

Cloud computing services are generally set up to charge you for just what you use and it’s very easy to change your system usage to benefit from additional economies.

In short, using the cloud is likely to keep your data safer, especially in the event of a disaster.

It will also be cheaper. That’s why it’s becoming so popular. 

Efficiency

The key to any business success is refining systems to maximize efficiency. Cloud computing makes being efficient easier. 

You can use the cloud to improve the quality of employees’ work/life balance. This will boost productivity. 

It will also help you to get your product or service to the market faster as you’ll boost global awareness of it. 

Additionally, cloud software companies use the latest security protocols and are constantly striving to improve them.

It’s probably the safest place to have your important data. 

Summing Up

Having read how many companies use cloud computing you’re probably amazed at the figures. 

Most businesses have dipped their toe in the water and are likely to commit heavily in the next few years. The industry is set to explode. 

In short, as a business you should be investing in cloud computing or risk being left behind.

As an individual, you should be considering shares in cloud computing businesses, it could be your ticket to a luxurious retirement.