In 2024, a striking 67% of enterprises plan to 🔺 bolster their cloud investments, reveals McKinsey's latest B2B Pulse survey.
Cloud sector is ripe for growth and partnerships are more crucial than ever.
According to insights from over 3,000 leaders across 11 industries collected in the the latest McKinsey & Company Global Technology and Telecommunications B2B Pulse Survey, majority of enterprises are now prioritizing investments in tech.
The growth in budgets shows that enterprises recognize the importance to be at the forefront of tech to drive innovation.
The consensus among companies is clear: agility and adaptability are essential.
Moreover, the vast majority of companies now believe that investing in the digital future also requires increasing the size of their portfolio year by year.
📈 Cloud: A Key Growth Driver
Spending is poised to grow across many tech product categories, according to McKinsey survey results, but cloud is in the select group that drives this growth trend.
The largest shares of decision makers intend to increase their spending on cloud and security, which are set to increase >8% in total spending than the year before.
Across categories on aggregate, 63% of enterprises plan to increase their spending on tech and connectivity, with 27% planning to spend on the same level.
💰 Large Enterprises are Particularly Bullish
Large enterprises are particularly enthusiastic about their tech future, with 71% planning to expand their cloud budgets.
Medium enterprises are not far behind, with 67% expecting to increase cloud spend.
Small enterprises in contrast have more conservative investment plans, with only 54% planning budget increases.
While SMEs remain largely focused on fixing the basics, larger, more established organizations are moving beyond core tech expansion with close to three-quarters planning a higher degree of investments in more advanced categories such as cloud.
🌎 Regional Growth Variations
The enthusiasm for investment varies regionally, indicating disparate growth patterns across the 15 countries surveyed.
Share of enterprises planning to increase their cloud spend
68% in Americas
69% in APAC
54% in Europe
77% in Africa
The survey highlights that channel partners, tech companies and cloud providers especially seem to be well positioned to gain traction and boost their shares in the market.
All the while, telcos are searching for a compelling value proposition to play a greater role beyond their core space.
🤝 So What for Cloud Alliance Leaders
For those of us leading cloud and tech alliances, these investment trends are a roadmap for strategic alignment. Understanding where budgets are flowing allows us to tailor our strategies effectively, leveraging the key drivers.
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