The Polish market for cloud services is growing very dynamically and it reached the PLN 1bn (€233m) mark in 2018. The necessity to process more and more data and the search for flexibility by companies are the main drivers. Cloud in Polish reality is mainly a hybrid and mixed model.
Market value and growth
According to the latest PMR data published in the report “Cloud computing market in Poland 2019. Market analysis and development forecasts for 2019-2024”, the cloud computing market in Poland grew at a higher rate than forecast in 2018. After two years during which its value increased by less than 30%, growth accelerated to 31% and the market exceeded PLN 1bn (€233m).
The growth of the cloud computing market in Poland – which, it should be stressed, is a 100% B2B market according to our definition – is fuelled by a number of factors. Chief among them are those originating from the financial sphere (different method of accounting for cloud services due to the purchase of services and not licenses) and business sphere (greater flexibility of running a business). The security aspect is very important, too.
The preferences of the largest companies in terms of cloud types remain unchanged, and the same is true of the function and scope of the cloud solutions used, the latest PMR research shows. The most popular type are private cloud services, used by more than two thirds of companies. The importance of public cloud is gradually growing. However, in the case of large companies, peripheral resources and those that do not contain sensitive data most often function in a public cloud. The research also shows that various hybrids of cloud and own resources are the most frequently used model, reported by 85% of the surveyed companies. One in six companies uses a cloud-only environment.
Factors affecting the market
In a PMR survey of 100 of the largest IT companies in Poland conducted in Q2 2019, growing amounts of data being processed emerged as the top driver of the cloud computing market in Poland, with 3 out of 10 respondents describing it as the factor with the biggest impact. Almost as crucial is the search for flexibility by companies (26%). Other important factors, with average scores above 5 on a scale of 1 to 8, are the search for savings by companies and information security.
Forecasts for the development of the cloud computing market in Poland indicate a very dynamic growth in the next six years. All three leading global providers, i.e. Amazon Web Services, Microsoft Azure, and Google Cloud Platform (GCP), have similar strategies: to provide basic cloud computing and data storage services in order to offer advanced services and build competitive advantage on them. A similar model will continue on the Polish market.
Among hyperscale players operating in the market, Google and Microsoft will grow the most dynamically in the area of cloud services, in our opinion. GCP decided to take a strategic step and enter the Polish market seriously with services and infrastructure. In 2019, it also gained two major partners, Orange and OChK, to support sales and dynamic growth of the Polish customer base. Microsoft has a more established position and has been present on the local market for years, and its partners focus primarily on sales of Office 365 and Azure solutions. At the same time, an increasing number of AWS deployments and migrations can be observed in Poland, and the forecasts indicate even greater growth.
On the other hand, users of external services, including clouds, will increasingly protect themselves by using the services of various providers. As a result, the significance of hybrid and multi-cloud environments, as well as advisory, implementation and integration services in the area of cloud computing will grow. This may be an opportunity for service providers operating locally, as well as for distributors providing access to the cloud solutions of various providers.