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Cloud computing trends in SA are the focus in this edition of the Business Day Spotlight.

Our host Mudiwa Gavaza is joined by Ria Pinto, acting general manager at IBM Southern Africa, which is part of the US technology giant — valued at $109bn (R1.73-trillion) and best-known for ushering in the age of computing in the 20th century.

IBM recently conducted a study on cloud computing — the on-demand availability of computer system resources, especially data storage and computing power, without direct management by the user.

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Pinto discusses the study and why and how enterprises are moving away from vendor lock-ins, together with the regulatory hurdles they are face.

The IBM study reveals that only 9% of respondents in SA reported using a single private or public cloud in 2021, down from 37% in 2019, establishing hybrid cloud as the dominant IT architecture, where part of a company’s computing is done on its premises and the rest provided by large specialist firms such as Amazon Web Services (AWS).

Research firm Gartners says spending on public cloud services in the Middle East and North Africa region will total $5.7bn in 2022, an increase of 19.2%, according to its latest forecast. While still in double digits, growth in 2022 will be slower compared with the forecasted 21.6% growth in 2021.

Mudiwa Gavaza. Picture: DOROTHY KGOSI.
Mudiwa Gavaza. Picture: DOROTHY KGOSI.

Data from Allied Market Research estimates the value of the global hybrid cloud market size was $36.1bn in 2017, and is projected to reach $171.9bn by 2025, growing at a compound annual growth rate of 21.7% from 2018 to 2025.

Pinto also details some of the investments and partnerships that IBM has secured in the local market in service of increased digitalisation of enterprise clients and the move to hybrid cloud. She says the company has major clients in financial services, telecoms and the public sector. Like AWS, IBM also has its own cloud platform. 

Besides IBM’s recent cloud computing study, topis discussed are cloud services that IBM provides; the company’s clients in SA and what industries they operate in; defining how big the cloud market is in SA and how much is it worth; trends highlighted by the study; and an outlook for the sector.

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 Business Day Spotlight is a TimesLIVE Podcasts production.


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