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Public Cloud Services Spending Hits $160 Billion This Year – IDC

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International Data Corporation’s (IDC) Worldwide Semiannual Public Cloud Services Spending Guide has disclosed that Worldwide spending on public cloud services and infrastructure would reach $160 billion in 2018, an increase of 23.2% over 2017.

Although annual spending growth is expected to slow somewhat over the 2016-2021 forecast period, the market is forecast to achieve a five-year compound annual growth rate (CAGR) of 21.9% with public cloud services spending totaling $277 billion in 2021.

 

The industries that are forecast to spend the most on public cloud services in 2018 are discrete manufacturing ($19.7 billion), professional services ($18.1 billion), and banking ($16.7 billion).

The process manufacturing and retail industries are also expected to spend more than $10 billion each on public cloud services in 2018.

These five industries will remain at the top in 2021 due to their continued investment in public cloud solutions.

The industries that will see the fastest spending growth over the five-year forecast period are professional services (24.4% CAGR), telecommunications (23.3% CAGR), and banking (23.0% CAGR).

Eileen Smith, program director, Customer Insights and Analysis,said “The industries that are spending the most – discrete manufacturing, professional services, and banking – are the ones that have come to recognize the tremendous benefits that can be gained from public cloud services.

Organizations within these industries are leveraging public cloud services to quickly develop and launch 3rd Platform solutions, such as big data and analytics and the Internet of Things (IoT), that will enhance and optimize the customer’s journey and lower operational costs.”

Software as a Service (SaaS) will be the largest cloud computing category, capturing nearly two thirds of all public cloud spending in 2018.

SaaS spending, which is comprised of applications and system infrastructure software (SIS), will be dominated by applications purchases, which will make up more than half of all public cloud services spending through 2019.

Enterprise resource management (ERM) applications and customer relationship management (CRM) applications will see the most spending in 2018, followed by collaborative applications and content applications.

Infrastructure as a Service (IaaS) will be the second largest category of public cloud spending in 2018, followed by Platform as a Service (PaaS).

IaaS spending will be fairly balanced throughout the forecast with server spending trending slightly ahead of storage spending.

PaaS spending will be led by data management software, which will see the fastest spending growth (38.1% CAGR) over the forecast period.

Application platforms, integration and orchestration middleware, and data access, analysis and delivery applications will also see healthy spending levels in 2018 and beyond.

The United States will be the largest country market for public cloud services in 2018 with its $97 billion accounting for more than 60% of worldwide spending.

The United Kingdom and Germany will lead public cloud spending in Western Europe at $7.9 billion and $7.4 billion respectively, while Japan and China will round out the top 5 countries in 2018 with spending of $5.8 billion and $5.4 billion, respectively.

China will experience the fastest growth in public cloud services spending over the five-year forecast period (43.2% CAGR), enabling it to leap ahead of the UK, Germany, and Japan into the number 2 position in 2021.

Argentina (39.4% CAGR), India (38.9% CAGR), and Brazil (37.1% CAGR) will also experience particularly strong spending growth.

The U.S. industries that will spend the most on public cloud services in 2018 are discrete manufacturing, professional services, and banking.

Together, these three industries will account for roughly one third of all U.S. public cloud services spending this year.

In the UK, the top three industries (banking, retail, and discrete manufacturing) will provide more than 40% of all public cloud spending in 2018, while discrete manufacturing, professional services, and process manufacturing will account for more than 40% of public cloud spending in Germany.

In Japan, the professional services, discrete manufacturing, and process manufacturing industries will deliver more than 43% of all public cloud services.

The professional services, discrete manufacturing, and banking industries will represent more than 40% of China’s public cloud services spending in 2018.

 

“Digital transformation is driving multi-cloud and hybrid environments for enterprises to create a more agile and cost-effective IT environment in Asia/Pacific.

“Even heavily regulated industries like banking and finance are using SaaS for non-core functionality, platform as a service (PaaS) for app development and testing, and IaaS for workload trial runs and testing for their new service offerings.

Drivers of IaaS growth in the region include the increasing demand for more rapid processing infrastructure, as well as better data backup and disaster recovery,” said Ashutosh Bisht, research manager, Customer Insights and Analysis.

 

The Worldwide Semiannual Public Cloud Services Spending Guide quantifies public cloud computing purchases by cloud type for 20 industries and five company sizes across eight regions and 47 countries.

Unlike any other research in the industry, the comprehensive spending guide was designed to help IT decision makers to clearly understand the industry-specific scope and direction of public cloud services spending today and over the next five years


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Ugo Onwuaso is an ICT enthusiast. He believes technology should be used for general good. He holds a Master of Public Administration (MPA) degree from the Lagos state University. Dear Reader, Your support matters. But we believe that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. That is why, we have devoted our energy to independent reportage of technology and finance and how they affect lives. Our incisive and analytical view of how technology news affects the daily life help individuals and organizations make up their minds. Quality journalism costs money. Today, we're asking that you support us to do more. Kindly support our effort to deliver technology and finance journalism to everyone in the world. Donate as little as N1,000. Bank transfers can be made to: UBA Plc 1017156876 Communication Week Media Ltd

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NBC Okays Radio Station for CMCM

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Christ Miracle Church Mission (CMCM) in Ojodu Berger, Lagos, has received approval from the National Broadcasting Commission (NBC) to operate its new state-of-the-art radio station.

NBC Okays Radio Station for CMCM

The commission said the radio was ready to commence transmission after expressing satisfaction with the facility.

Mr Raphael Akpan, zonal director, NBC, stated this while leading a team of officials on an assessment tour of the radio station.

During the visit, the officials inspected the studio area, the transmitter, the inverter, the mast, the generator, and other important places.

After the tour, the zonal director spoke with reporters and expressed his pleasure at the church being granted a broadcast license to operate a radio station. He noted that this would enhance the church’s voice in the community.

The director also mentioned that the purpose of his visit was to ensure that proper procedures are followed and that the content broadcast adheres to current laws.

Akpan praised Prophet Peter Abiola Adebisi, founder of the church, along with the church council for their initiative to establish the radio station.

“From our observation, we can say that the CMCM Champion broadcasting network 90.7FM is ready for transmission.

“It is our prayer that this radio station will go places,” he said.

The zonal director emphasized the importance of proper training for the personnel working at the radio station.

He encouraged them to familiarize themselves with relevant sections of the National Broadcasting Code to ensure they are well-informed.

It is vital for studio managers to engage in self-reflection regarding their adherence to the standards outlined in the Code.

“The operators in the studio should thoroughly understand the various sections of the NBC, which cover broadcasting standards, commercials, engineering, and more,” he stated.

Prophet Adebisi commended the NBC management for granting the church permission to operate the radio station.

He mentioned that the station would promote church programs and policies, share the CMCM story with the world, train members, who have a passion for broadcast journalism, and create employment opportunities for them, among other benefits.

Additionally, Adegbie Taiwo Jordan, chief executive officer of the station, assured that the operators would comply with all broadcasting regulations set by the regulatory agency.

 


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Afrobeats and Amapiano Lead Africa’s Musical Revolution

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Africa’s music scene is no longer just a regional sensation, it has become the pulse of global pop culture.

As African music continues to enchant global audiences, Spotify Wrapped 2024 unveils the diverse range of genres that people now enjoy all over the world. While Afrobeats and Amapiano often dominate headlines, this year’s Wrapped data sheds light on other emerging sounds that define Africa’s music.

Reimagined histories

Hiplife and Highlife from Ghana, rooted in the country’s rich cultural history, remain highly exported due to their fusion of traditional Highlife melodies with contemporary beats that keep them globally relevant.

Artists like King Paluta, Fameye, and KiDi are leading the way in blending traditional Highlife melodies with modern sounds. Fameye’s Very Soon and King Paluta’s Aseda—a heartfelt song of gratitude—are examples of how the genre is evolving. Their fresh take on Highlife has helped drive a 54% increase in global streams, a sign of the genre’s appeal to both local and international audiences.

In Kenya, Arbantone, mainly characterized by beats from samples of Kenyan old school hits. This sound combines elements of Gengetone and old Jamaican riddims, led by a wave of young rappers who bring the raw lyricism of Gengetone. Captivating young audiences, Arbantone is quickly rising on local music charts.

Arbantone grew significantly in 2024, partially thanks to viral dance challenges on social media. Artists like Dyana Cods’ “Set It”, harnessed the genre’s infectious beats and catchy lyrics to connect with her fans. The song became one of the most popular Arbantone tracks in Kenya, securing the number 3 most streamed Arbantone track in Kenya as revealed by the 2024 Spotify Wrapped data.

Embracing experimental sounds

Nigeria’s Alté is becoming more popular abroad where it’s now the country’s fourth-most exported genre in 2024. Pronounced “uhl-teh”, a shorthand for alternative, you may have heard the experimental mix of Afrobeats, R&B, and hip-hop, with electronic influences on tracks like Soh-Soh by Odeal or Amaarae’s Wanted. The likes of Amaarae, Lady Donli and Odunsi (The Engine) paved the way for a new generation of artists like DEELA, DETO BLACK and brazy to tap into Alté’s rebellious, bold and unconventional brand of self-expression. The global success of Alté-influenced musicians like Tems, Rema and Odeal symbolises how the genre is taking its place in mainstream music culture. Countries like Ghana have embraced the sound with over 60 billion Spotify streams, and Alté now has 41% more global plays than it did a year ago.

South Africa’s Afro House, known for its deep rhythms and soulful vocals, has become a favourite in electronic music circles around the world. DESIREE and DJ Shimza have been instrumental in influencing the growth of Afro House. DESIREE sets blend African rhythms with modern electronic sounds, while DJ Shimza’s electrifying global performances have propelled the genre to new heights. As more artists from around the world incorporate African sounds into their music, the genre has influenced global dance floors.

Household names

Afrobeats continues to lead Africa’s music revolution, evolving rapidly and driving the movement forward. In 2024, the genre saw a significant 28% increase in global streaming. Tracks like Santa by Ayra Starr, Rauw Alejandro, and Rvssian highlight the genre’s versatility, while Calm Down by Rema and Selena Gomez underscore its widespread international appeal. Collaborations like Skillibeng and Tyla’s Jump, Gunna showcase Afrobeats’ adaptability and its growing dominance on global charts.

Amapiano, meanwhile, has emerged as Africa’s fastest-growing genre, with a phenomenal 59% increase in global streaming in 2024.

Another sign that the future of global music will undoubtedly feature even more beats, grooves, and melodies from the continent.


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NERC Discloses $5.7 Million Debt Owed by International Customers for Q3 2024 Electricity Supply

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Nigerian Electricity Regulatory Commission (NERC) has disclosed that international customers owe $5.7 million for electricity supplied in the third quarter (Q3) of 2024.

The debtors include Paras-SBEE and Transcorp-SBEE from the Benin Republic, Mainstream-NIGELEC from Niger, and Odukpani-CEET from Togo.

Under an international treaty, Nigeria exports electricity to neighbouring countries like Benin Republic, Togo, and Niger.

In its latest quarterly report, NERC stated that market operators (MO) issued invoices totaling $12.19 million to six international firms for services rendered in Q3, out of which $6.49 million was paid.

“In 2024/Q3, the six (6) international bilateral customers purchasing power from the grid-connected GenCos made a cumulative payment of $6.49 million against the $12.19 million invoice issued to them by the MO for services rendered in 2024/Q3,” the report said.

“Similarly, the domestic bilateral customers made a cumulative payment of ₦1,566.51 million against the ₦2,100.79 million invoice issued to them by the MO for services rendered in 2024/Q3.”

NERC highlighted that some bilateral customers—both domestic and international—made payments in Q3 2024 to settle outstanding invoices from previous quarters. “Odukpani-CEET made a payment of $1.33 million towards outstanding invoices from previous quarters,” the report revealed.

“Similarly, the MO received ₦31.51 million from the domestic bilateral customers (North-South/Star Pipe; ₦9.50 million and Trans-Amadi (OAU/FMPI); ₦22.01 million) towards outstanding invoices from previous quarters.”

However, NERC noted that its special customer, Ajaokuta Steel Co. Ltd, along with the host community, failed to make any payments towards the ₦1.26 billion (NBET) and ₦0.11 billion (MO) invoices received in Q3 2024.

“This continues a longstanding trend of non-payment by this customer, and the Commission has communicated the need for intervention on this issue to the relevant FGN authorities,” the commission said, warning that continued non-payment could lead to total disconnection from the national grid.

In September, Shuaibu Audu, the Minister of Steel Development, signed a memorandum of understanding (MoU) with Messrs Tyazhpromexport (TPE) for the rehabilitation, completion, and operation of the Ajaokuta Steel Plant and the National Iron Ore Mining Company (NIOMCO).

By December, Natasha Akpoti-Uduaghan, chairperson of the Senate Committee on Local Content, announced plans to commence the revitalisation of the Ajaokuta Steel Company plants in the first quarter (Q1) of 2025.


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