2025 Cloud Predictions
The revenue generated from GenAI offset some of the impact of cost-saving and expense-reduction efforts that defined the IT and cloud market in 2024. TBR research shows some of that luster will fade in 2025, however, as the lack of a clear ROI from GenAI solutions will be a sticking point that slows investment in the coming year. The long-term GenAI opportunity is still sizable and customer interest remains strong, but 2025 will be a transition period for end-customer investment in the technology.
In this year’s special report we expand on 3 key points for 2025:
- Scale, innovation and even repatriation will moderate cloud market growth in 2025
- Microsoft will narrow the gap with AWS in IaaS & PaaS market share, en route to leadership in 2027
- SaaS vendors will shrug off growing GenAI disillusionment, focusing on the long term by prioritizing GenAI agents within their development strategies