While overall IT budgets are experiencing minimal growth - a compound annual growth rate of 0.9 percent in 2016 (to $3.4 trillion) - the sky is the limit when it comes to cloud: Cloud infrastructure spending will increase 16.2 percent in 2016 to $37.4 billion, with a 5-year CAGR of 13.6 percent to $60.8 billion in 2020. That’s just the hardware; public cloud services are expected to reach $208 billion in 2016, up from $178 billion in 2015. Gartner attributes the growth to the fact that organizations are saving 14 percent of their budgets as an outcome of public cloud adoption.