Source: Ericsson
5.2 billion mobile users, 292 billion gigabytes mobile traffic by 2019
| In February 2015, Cisco released the Cisco VNI Global Mobile Data Traffic Forecast, 2014 – 2019. Global highlights from the updated study include the following projections:
By 2019:
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Cloud traffic will grow at an annual rate of 33% over the next 5 years, Cisco predicts
The new version of the Cisco Cloud Index computes the rapid expansion of today’s stampede to the cloud. “We have never seen anything like this in terms of speed of customer adoption,” Oracle Co-CEO Mark Hurd said recently, describing how his corporate customers have enthusiastically embraced the cloud.
One of them, General Electric, has moved, in just the last 18 months, 10% more of its computing load into the cloud, and expects to run 70% of its applications in the cloud by 2020. In their latest quarterly financial reports, Amazon reported that its cloud business has surged 79% year-over-year and Microsoft announced that its cloud business has “more than doubled.”
Here are the highlights of Cisco’s ongoing study of the growth of global data center and cloud-based data traffic.
Almost all of the work of IT will be done in cloud data centers
Based on its hands-on knowledge of the movement of data over global computer networks, Cisco predicts that cloud traffic will grow at an annual rate of 33% over the next 5 years, quadrupling from 2.1 zettabytes (2.1 trillion gigabytes) in 2014 to 8.6 zettabytes by the end of 2019. 86% of workloads will be processed by cloud data centers in 2019 and only 14% will be processed by traditional data centers.
Source: Cisco Global Cloud Index, 2014–2019
Cloud traffic is expected to account for 83% of total data center traffic by 2019. Cloud traffic is a subset of data center traffic and is generated by cloud services accessible through the Internet from scalable, virtualized cloud data centers. Total data center traffic, which Cisco projects will reach 10.4 zettabytes by the end of 2019, is comprised of all traffic traversing within and between data centers as well as to end users.
10.4 trillion gigabytes is the equivalent of 144 trillion hours of streaming music or 6.8 trillion of high-definition (HD) movies viewed online. Ones and zeros are eating the world and the companies providing consumers with digital entertainment and other services have been at the forefront of the migration to the cloud. Indeed, The Wall Street Journal has reported recently that Netflix has shut down the last of its data centers, moving the last piece of its IT infrastructure to the public cloud.
The public cloud will grow faster than the private cloud
Source: Cisco Global Cloud Index, 2014–2019
While overall cloud workloads will grow at a CAGR of 27% from 2014 to 2019, the public cloud workloads are going to grow at 44% CAGR over that period, and private cloud (where cloud services are delivered to corporate users by their IT department) workloads will grow at a slower pace of 16%. By 2019, there will be more workloads (56%) in the public cloud than in private clouds (44%).
New sources of data, especially the Internet of Things, will keep the clouds very busy
Source: Cisco Global Cloud Index, 2014–2019
The total volume of stored data on client devices and in data centers will more than double to reach 3.5 zettabytes by 2019. Most stored data resides in client devices today and will continue to do so over the next 5 years, but more data will move to the data center over time, representing 18% of all data in 2019, up from 12% in 2014.
In addition to larger volumes of stored data, the stored data will be coming from a wider range of devices by 2019. Currently, 73% of data stored on client devices resides on PCs. By 2019, stored data on PCs will go down to 49%, with a greater portion of data on smartphones, tablets, and machine-to-machine (M2M) modules. Stored data associated with M2M will grow at a faster rate than any other device category at an 89% CAGR.
A broad range of Internet of Things (IoT) applications are generating large volumes of data that could reach, Cisco estimates, 507.5 zettabytes annually by 2019. That’s 49 times greater than the projected data center traffic for 2019 (10.4 zettabytes). Today, only a small portion of this content is stored in data centers, but that could change as big data analytics tools are applied to greater volumes of the data collected and transmitted by IoT applications.
The figure below maps several M2M applications for their frequency of network communications, average traffic per connection, and data analytic needs. Applications such as smart metering can benefit from real-time analytics of aggregated data that can optimize the usage of resources such as electricity, gas, and water. On the other hand, applications such as emergency services and environment and public safety can be much enhanced through distributed real-time analytics that can help make real-time decisions that affect entire communities. Although some other applications such as manufacturing and processing can have potential efficiencies from real-time analytics, their need is not very imminent.
Source: Cisco Global Cloud Index, 2014–2019
More consumers will keep their data in the cloud
Cisco estimates that by 2019, 55% (2 billion) of the Internet-connected consumer population will use personal cloud storage, up from 42% (1.1 billion users) in 2014.
Source: Cisco Global Cloud Index, 2014–2019
Global consumer cloud storage traffic will grow from 14 exabytes (14 billion gigabytes) annually in 2014 to 39 exabytes by 2019 at a 23% CAGR. This growth translates to per-user traffic of 1.6 gigabytes per month by 2019, compared to 992 megabytes per month in 2014.
Source: Cisco Global Cloud Index, 2014–2019
Ones and zeros are eating the world and today we got fresh insights into how much, how fast, and how their movement changes the way IT services are delivered to businesses and consumers. For more data and the study’s methodology, go to the Cisco Global Cloud Index webpage.
Originally published on Forbes.com
65% growth in mobile data traffic over last 12 months driven by video
- Video dominates data traffic: Global mobile data traffic is forecast to grow ten-fold by 2021, and video is forecast to account for 70 percent of total mobile traffic in the same year. In many networks today, YouTube accounts for up to 70 percent of all video traffic, while Netflix’s share of video traffic can reach as high as 20 percent in markets where it is available.
- Mainland China overtakes the US as world’s largest LTE market: By the end of 2015, Mainland China will have 350 million LTE subscriptions – nearly 35 percent of the world’s total LTE subscriptions. The market is predicted to have 1.2 billion LTE subscriptions by 2021.
- Africa becomes an increasingly connected continent: Five years ago (2010) there were 500 million mobile subscriptions across Africa; by the end of 2015 this number will double to 1 billion. Increased connectivity improves the prospect of financial inclusion for the 70 percent unbanked through mobile money services starting to take form across Africa.
2 Billion Photos are Shared Daily on Snapchat, Whatsapp, Facebook, Instagram, and Flickr
| Flickr | 1,000,000 |
| 400,000,000 | |
| 70,000,000 | |
| Snapchat | 760,000,000 |
| 700,000,000 |
Source: Photoworld
What Happens on the Internet in 60 Seconds
So, what’s happened since 2015? The mass majority of these numbers have significantly increased from what happened in an Internet minute last year. This goes to show how consumers are continuously utilizing the Internet more and more each day, pressuring Internet speeds to increase as well. Here are some key difference from Internet speeds in 2016 vs. 2015:
- Uber – 695 more rides per minute (100% increase)
- Amazon – $83,836 more in sales per minute (70% increase)
- Spotify – 24,752 more hours of music uploaded per minute (186% increase)
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Data Is Eating the World: Enterprise Edition
HT: ArchiTECHt
With its 150-year history, over $2.4 trillion in assets, 37 million customers, and 4,000-strong presence across 70 countries, [HSBC] is an important financial institution in a heavily-regulated industry. “We have to make sure our customers feel confident and trust in us to be the custodian of their assets,” stated Darryl West, Group Chief Information Officer at HSBC, at the recently held Google Cloud Next conference…
“Apart from our $2.4 trillion dollars of assets on our balance sheet, we have at the core of the company a massive asset in [the form of] our data. And what’s been happening in the last three years is a massive growth in the size of our data assets,” shared West, pointing out that data at HSBC has grown tremendously from 56 petabytes in 2014 to over 100 petabytes as of early 2017. “Our customers are adopting digital channels more aggressively and we’re collecting more data about how our customers interact with us. As a bank, we need to work with partners to enable us to understand what’s happening and draw out insights in order for us to run a better business and create some amazing customer experiences,” said West.
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Data is Eating the World: A New Economy
Data are to this century what oil was to the last one: a driver of growth and change. Flows of data have created new infrastructure, new businesses, new monopolies, new politics and—crucially—new economics. Digital information is unlike any previous resource; it is extracted, refined, valued, bought and sold in different ways. It changes the rules for markets and it demands new approaches from regulators. Many a battle will be fought over who should own, and benefit from, data…
The problem [with personal data] is the opposite to that with corporate data: people give personal data away too readily in return for “free” services. The terms of trade have become the norm almost by accident, says Glen Weyl, an economist at Microsoft Research. After the dotcom bubble burst in the early 2000s, firms badly needed a way to make money. Gathering data for targeted advertising was the quickest fix. Only recently have they realised that data could be turned into any number of AI services.
Whether this makes the trade of data for free services an unfair exchange largely depends on the source of the value of the these services: the data or the algorithms that crunch them? Data, argues Hal Varian, Google’s chief economist, exhibit “decreasing returns to scale”, meaning that each additional piece of data is somewhat less valuable and at some point collecting more does not add anything. What matters more, he says, is the quality of the algorithms that crunch the data and the talent a firm has hired to develop them. Google’s success “is about recipes, not ingredients.”
That may have been true in the early days of online search but seems wrong in the brave new world of AI. Algorithms are increasingly self-teaching—the more and the fresher data they are fed, the better. And marginal returns from data may actually go up as applications multiply, says Mr Weyl.
See also:
Data is Eating the World: 163 Trillion Gigabytes Will Be Created in 2025
Data Is Eating the World: Enterprise Edition
Data is Eating the World: The new face of globalization
The growth of trade compared with the growth of GDP in this decade has been half of that in the late 1990s and early 2000s, while global capital flows as a percentage of GDP have dropped precipitously since the 2008–09 financial crisis and have not returned to pre-crisis levels.
At the same time, there is evidence that other facets of globalization continue to advance, rapidly and at scale. Cross-border data flows are increasing at rates approaching 50 times those of last decade. Almost a billion social-networking users have at least one foreign connection, while 2.5 billion people have email accounts, and 200 billion emails are exchanged every day. About 250 million people are currently living outside of their home country, and more than 350 million people are cross-border e-commerce shoppers—expanding opportunities for small and medium-sized enterprises to become “micro-multinationals.”
See also
Data Is Eating the World: Supply Chain Innovation
Data is Eating the World: 163 Trillion Gigabytes Will Be Created in 2025