From 37% today to 78% in 2020 — the projected adoption of cloud by small business.
That’s over 15% compound annual growth rate (CAGR).
And with small business being the main driver of employment in America, that’s a lot of transformation expected to take place in the next six years.
Buckle up, people!
Article by Chris Burt in The WHIR.
Emphasis in red added by me.
Brian Wood, VP Marketing
Cloud Computing Will Be Used by 78 Percent of Small Businesses in 2020
By 2020, 78 percent of small businesses will be fully adapted to cloud computing, up from 37 percent in 2014, according to the report, called Small Business Success in the Cloud.
The report points to the convergence of four sets of factors: socio-economic; technology and infrastructure; platforms and ecosystems; and customer needs. These factors are creating a different kind of workforce serving different markets with different tools, and changing some of the basic patterns of small business.
“This report paints a detailed picture of how small businesses will increasingly use cloud technology not only for efficiency gains, but also in more transformative ways that redefine the rules for achieving long-term success,” Terry Hicks, vice president and general manager, QuickBooks Online Ecosystem at Intuit said.
These changes are creating four new types of small businesses.
“Plug-in players” are businesses delivering custom solutions to go with service platforms or products provided by other companies.
“Portfolioists” build a career out of multiple income streams, which may or may not leverage each other.
“Hives” are collaborations formed to share talent to meet mutual needs.
“Head-to-Headers” are small businesses which leverage new technology and platforms to reach markets traditionally available only to large corporations.
The report is the first of a series called “Dispatches from the New Economy,” based on a 10-year partnership between Emerge and Intuit.
In July Microsoft launched new Office 365 plans for small businesses, and EIG extended an SMB outreach partnership with Google, both moves to reach a market Parallels pegged at $125 billion by 2016.