According to the latest report jointly released by the Ministry of Science and Technology Information and Communications of South Korea and the Korea Information and Communications Industry Promotion Agency (NIPA), the revenue of the South Korean cloud computing industry reached 7.39 trillion won in 2023, an increase of 26.6% over the previous year.
This increase is mainly due to the popularity of generative artificial intelligence and the increase in cloud service usage. The report surveyed 2,389 cloud computing companies and found that the number of these companies increased by 18.3% compared with 2022. This year, the revenue growth rate of the cloud computing industry increased by 8 percentage points from 18.6% from 2021 to 2022.
The report analysis pointed out that factors driving market expansion include the acceleration of digital transformation, the widespread application of generative AI, and the increased acceptance of cloud services by traditional conservative industries. Specifically, small and medium-sized enterprises (SMEs) account for 93.0% of the cloud computing industry, with a total of 2,222 companies, while 127 medium-sized enterprises (5.3%) and 40 large enterprises (1.7%). ).
In terms of service types, there are the largest number of software-as-a-service (SaaS) enterprises, with a total of 1,642 enterprises, accounting for 68.7%; followed by infrastructure-as-a-service (IaaS), with 436 enterprises (accounting for 18.3%); Platform-as-a-service (PaaS) (PaaS) (PaaS) (Presentation of 18.3%); )There are 157 enterprises (accounting for 6.6%), and the number of management service providers (MSPs) is 94 (accounting for 3.9%). It is worth noting that the number of MSP enterprises has increased by 44.6%, becoming the fastest-growing category, and MSP revenue has also increased by 73.5%, far higher than IaaS (23.9%), SaaS (21.3%) and PaaS (18.7%) ) growth rate.
Among different types of cloud services, hybrid cloud has the highest revenue, reaching 3.1 trillion won, accounting for 42.2%; followed by public cloud, with revenue of 2.6 trillion won (35.0%) and private cloud revenue of 1.7 trillion won, accounting for 1.7 trillion won; (22.8%). As of 2023, the total number of employees in the cloud computing industry reached 30,654, an increase of 4,069 from last year (a 15.3%). However, the report also pointed out that with the rapid development of the industry, the demand for skilled talents has continued to rise, and challenges are still facing in cultivating and recruiting these talents.