This IDC study discusses the top 10 predictions for the cloud market for 2025."The convergence of cloud and artificial intelligence is ushering in a new era of business innovation," said Dave McCarthy, research vice president, Cloud and Edge Services at IDC. "This synergy is driving transformative advancements across industries, from personalized customer experiences to groundbreaking scientific discoveries. The future will be shaped by those who can effectively harness the power of cloud and AI to gain a competitive edge."
IDC FutureScape Figure
Executive Summary
IDC FutureScape Predictions
Summary of External Drivers
Predictions: Impact on Technology Buyers
Prediction 1: By 2027, More than 60% of Businesses Will Have Modernized Up to 50% of Their Cloud Architecture to Encourage Infrastructure and Cost Efficiency and Enable Business and Technical Innovation
Associated Drivers
IT Impact
Guidance
Prediction 2: By 2028, Progress in Application Modernization and AI Tools Will Enable AI-Driven Movement to Optimal Environments for 60% of Enterprise Workloads, Which Will Be Utilized by at Least 45% of Organizations
Associated Drivers
IT Impact
Guidance
Prediction 3: By 2026, as Part of Their Sovereign Cloud Strategies, 50% of Organizations Will Look for Network Infrastructure Providers That Offer Sovereign Controls
Associated Drivers
IT Impact
Guidance
Prediction 4: By 2026, 75% of Organizations Will Leverage Specialized Accelerated Cloud Computing Services to Maximize the Speed of Deployment and Optimize the Scaling of Their AI and Other Accelerated Applications
Associated Drivers
IT Impact
Guidance
Prediction 5: By 2028, More Than 90% of Newly Developed Applications Will Be Multicloud Enabled, Having Been Architected to Leverage Platform-Delivered Capabilities and Deliver More Innovative Solutions
Associated Drivers
IT Impact
Guidance
Prediction 6: By 2026, 40% of Multicloud Environments Will Leverage Generative AI to Streamline Security and Identity Access Management, Reducing Manual Efforts by 50%
Associated Drivers
IT Impact
Guidance
Prediction 7: By 2025, 55% of the G2000 Will Adopt Multicloud Data Logistic Platforms to Enable Active Data Migration Between Hyperscalers to Optimize Costs, Reduce Vendor Dependencies, and Improve Governance
Associated Drivers
IT Impact
Guidance
Prediction 8: By 2027, 90% of the G2000 Will Double Network Budgets Directed to Cloud Service Providers for IaaS Network Services, Driven by Network Modernization Efforts, Staff Pressures, and Service Enhancements
Associated Drivers
IT Impact
Guidance
Prediction 9: By 2027, Faced with the Challenges of Scaling GenAI Inferencing, 80% of CIOs Will Rely on Edge Services from Cloud Providers to Satisfy Performance and Data Compliance Requirements
Associated Drivers
IT Impact
Guidance
Prediction 10: By 2027, 40% of Organizations Will Use Custom Silicon, Including Arm Processors or AI/ML-Specific Chips, to Meet Rising Demands for Performance Optimization, Cost Efficiency, and Specialized Computing
Associated Drivers
IT Impact
Guidance
Advice for Technology Buyers
External Drivers: Detail
AI-Driven Business Models — Moving from AI Experimentation to Monetization
The Drive to Automate — Toward a Data-Driven Future
Regulatory Flux — Navigating Compliance Challenges in a Shifting Policy Landscape
Expanding Digital Security Frontiers — Fortification Against Multiplying Threats
Battling Against Technical Debt — Overcoming Hurdles to IT Modernization