As we all know, the public cloud has been growing incredibly fast. What may be less obvious is that growth is likely to continue even if the overall economy—and tech spending—slows.
At least, that’s what cloud companies are seeing… and betting on. According to the Wall Street Journal, ”business demand for cloud services remained strong even amid signs of a broader economic slowdown.” And according to RBC Capital projections reported in the Journal, capital spending among the 18 cloud service providers it tracks jumped 29 percent in 2014, rose just 6 percent in 2015, but will accelerate to 15 percent in 2106. The Journal also said that Amazon, Microsoft and Google spent $ 26 billion in capital expenditures in 2015, a good chunk of it on data center capacity.