By 2018, 62% Of CRM Will Be Cloud-Based, And The Cloud Computing Market Will Reach $127.5B

The cloud computing market is growing at a compound annual growth rate (CAGR) of 22.8% from 2014 to 2018, and will reach $127.5B by 2018. Enterprise spending on SaaS applications is approaching 30% of all application spending, and is currently growing at a 17.6% CAGR from 2013 to 2018. By 2018, 62% of all CRM software will be cloud-based, with Salesforce solidifying its market leadership position. These and other insights are from Byron Deeters’ State of the Cloud Report 2015 from Bessemer Venture Partners. Please see Alex Konrad’s insightful post, Report: Cloud Market Cap To Pass $500 Billion By 2020 for a detailed analysis of the financial implications of the report. Bessemer Venture Partners (BVP) is a venture capitalist firm specializing in cloud computing and technology investments, and also publishes their own Cloud Computing Index. There are 42 public companies in the index, and they serve as leading indicators for Bessemer Venture Partners’ analysis of the market.