"Cloud-first strategies are the foundation for staying relevant in a fast-paced world," said Ed Anderson, Research Vice President at Gartner.
"The market for cloud services has grown to such an extent that it is now a notable percentage of total IT spending, helping to create a new generation of start-ups and 'born in the cloud' providers," he added.
IT spending is steadily shifting from traditional IT offerings to Cloud services.
The aggregate amount of cloud shift in 2016 is estimated to reach $111 billion (roughly Rs. 7,44,563 crores) - increasing to $216 billion (roughly Rs. 1,44,888 crores) in 2020, Gartner said.
"Cloud shift is not just about Cloud. As organisations pursue new IT architecture and operating philosophy, they become prepared for new opportunities in digital business, including next-generation IT solutions such as the Internet of Things (IoT)," Anderson said.
"Furthermore, organisations embracing dynamic, cloud-based operating models position themselves better for cost optimization and increased competitiveness," he added.