Gartner: SaaS Will Still Grow 18% in 2023 to $200 Billion Worldwide. And Another 18% in 2024.

So there’s no doubt things are a bit harder for everyone in SaaS and Cloud right now.  A few of us are seeing no macro impacts, but probably the biggest tell are Cloud platform giants — AWS, Azure and Google Cloud.  All are still growing at very strong rates.  But all are growing more slowly than a year ago, and even more so than 2 years ago.

But they are still growing.  The Cloud is still growing.  SaaS spend is still growing.   It’s harder to access that spend, but it’s hardly shrinking:

How much?  Well, Gartner has its latest report and predictions out.  They see overall SaaS spend still growing a very healthy 18% in 2023 to almost $200 Billion Worldwide in 2023.  And after interviewing 100s of CIOs and CXOs, it still sees SaaS growing another 18% in 2024 to $232 Billion a year:

There’s no question that inflation, infrastructure costs, and vendor consolidation will take up a lot of this increase.  But budgets are still there.  Even if we have to do a lot more, and prove a lot more, to access them.

Published on May 2, 2023