PaaS revenues growing as businesses embrace the cloud

Tuesday 20 November 2012

Virtualisation

Worldwide Platform-as-a-Service (PaaS) revenue is set to reach $1.2 billion (£0.75 billion) in 2012, up from $900 million in 2011, it has been reported.

According to IT analyst Gartner, the PaaS market is set to grow to a value of $1.5 billion in 2013 and $2.9 billion in 2016 as more businesses embrace cloud computing.

The category includes suites of application infrastructure services, such as application PaaS and integration PaaS.

It also includes specialist application infrastructure services, such as database PaaS, business process management PaaS, messaging as a service and other functional types of middleware offered as a cloud service.

Fabrizio Biscotti, research director at Gartner, said that of all the cloud technological aspects, PaaS is the least evolved.

"For this reason, PaaS is where the battle between vendors and products is set to intensify the most," he stated.

"It comes as no surprise that the PaaS competitive landscape is still in flux, with traditional application infrastructure vendors facing competition from new large players moving into the market, and myriad specialised PaaS pure players cutting into their slice of profits."

The largest segments within the PaaS market are cloud application platform services, cloud application life cycle management services and cloud business process management services, Gartner stated.

Posted by Alex Boardman