Public Cloud - Chile

Chile

Revenue in the Public Cloud market is projected to reach US$1,130.00m in 2024.
Software as a Service dominates the market with a projected market volume of US$412.70m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 18.64%, resulting in a market volume of US$2,656.00m by 2029.
The average spend per employee in the Public Cloud market is projected to reach US$117.10 in 2024.
In global comparison, most revenue will be generated in the United States (US$388.50bn in 2024).

Key regions: United States, Germany, China, Japan, United Kingdom

Definition:

A public cloud is defined as the digital infrastructure and computing resources that are managed by a service provider. Examples of public cloud computing resources include virtual machines, storage, and services, all of which are available for purchase with flexible (e.g., pay as you go and subscription) business models. Such payment options make it possible for customers to access, scale, and utilize resources as needed. Public cloud solutions make it possible for users to save on IT costs, increase their efficiency, and take advantage of advanced technologies without having to invest in long-term IT solutions. Public cloud service providers own and maintain the physical infrastructure, hardware, and software. Users only need to pay for the computing resources that they require. The Public Cloud market refers to the companies that provide these cloud computing resources and services to individuals, businesses, and organizations.

Structure:

The Public Cloud market is structured into five markets based on the type of service models provided by the companies.

The Infrastructure as a Service (IaaS) market covers the resources and services related to the data center infrastructure.
The Platform as a Service (PaaS) market covers the resources and services related to the virtual environments used for software development.
The Software as a Service market (SaaS) market covers the resources and services related to software applications that can be accessed via a web browser.
The Business Process as a Service (BPaaS) market covers the resources and services related to the various business processes such as finance and accounting, human resources, customer service, and supply chain management, all delivered through the cloud.
The Desktop as a Service (DaaS) market covers the resources and services related to virtual desktop environments, which are accessible from any device with an internet connection.

Additional Information:

The public cloud market comprises revenue, revenue change, average spend per employee, and key player market shares as key performance indicators. Only revenues that are generated by primary vendors at the manufacturer price level either directly or through distribution channels (excluding value-added tax) are included, and revenues generated by resellers are excluded. Revenues are generated through both online and offline sales channels and include spending by consumers (B2C), enterprises (B2B) as well as governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed.

Key players of the public cloud market include companies such as Amazon (Amazon web services), Microsoft (Azure), Google (Cloud), and IBM (Cloud).

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Market

Region

Region comparison

Currency

Analyst Opinion

The Public Cloud market in Chile has been experiencing significant growth in recent years.

Customer preferences: Chilean businesses are increasingly adopting public cloud solutions due to their flexibility, scalability, and cost-effectiveness. With the growing demand for digital transformation and the need for agile IT infrastructure, businesses in Chile are turning to public cloud services to meet their computing and storage requirements. Additionally, the ability to access data and applications from anywhere at any time is a key driver for the adoption of public cloud services in the country.

Trends in the market: One of the major trends in the public cloud market in Chile is the increasing adoption of Software-as-a-Service (SaaS) solutions. Businesses are leveraging SaaS offerings to streamline their operations and reduce the need for in-house IT infrastructure. SaaS solutions provide businesses with access to a wide range of applications and services without the need for upfront investment in hardware or software. This trend is particularly evident in sectors such as finance, healthcare, and retail, where businesses are looking to improve efficiency and enhance customer experience. Another trend in the market is the growing demand for hybrid cloud solutions. While public cloud services offer numerous benefits, some businesses in Chile prefer to maintain certain sensitive data and applications on-premises or in private cloud environments. Hybrid cloud solutions provide the flexibility to seamlessly integrate on-premises infrastructure with public cloud services, allowing businesses to leverage the benefits of both environments. This trend is driven by data security concerns, regulatory requirements, and the need for greater control over critical business applications.

Local special circumstances: Chile has a robust and stable economy, which has contributed to the growth of the public cloud market. The country has a strong entrepreneurial culture and a growing startup ecosystem, which has led to increased demand for cloud services. Startups in Chile are leveraging public cloud platforms to rapidly scale their operations and compete in the global market. Additionally, the government of Chile has been actively promoting the adoption of digital technologies, including cloud computing, to drive economic growth and innovation.

Underlying macroeconomic factors: The growth of the public cloud market in Chile is also influenced by macroeconomic factors. The country has a high internet penetration rate and a young population that is increasingly tech-savvy. This has created a favorable environment for the adoption of cloud services. Furthermore, the COVID-19 pandemic has accelerated the digital transformation efforts of businesses in Chile, leading to an increased reliance on cloud computing to support remote work and online collaboration. In conclusion, the Public Cloud market in Chile is experiencing significant growth due to customer preferences for flexibility, scalability, and cost-effectiveness. The adoption of SaaS solutions and hybrid cloud models are key trends in the market. Local special circumstances, such as the entrepreneurial culture and government support, are contributing to the growth of the market. Additionally, underlying macroeconomic factors, such as high internet penetration and the impact of the COVID-19 pandemic, are driving the adoption of public cloud services in Chile.

Methodology

Data coverage:

The data encompasses B2B, B2G, and B2C enterprises. Figures are based on the money spent at manufacturer price level (excluding VAT).

Modeling approach / Market size:

Market sizes are determined through a top-down approach with a bottom-up validation, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of the market-leading companies and reports from our primary research. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP and level of telecommunications infrastructure. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. The main drivers are the GDP and the level of digitization.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level.