Among public cloud services, infrastructure-as-a-service offerings is forecasted to contribute to the bulk of the growth, with an expected 38 percent increase, or about $22.4 billion (£15.6bn), which is highly-attributed to companies’ goal of cutting down datacenter costs.

"IaaS continues to be the strongest growing segment as enterprises move away from data centre build-outs and move their infrastructure needs to the public cloud", Nag said.

Meanwhile, the biggest area of spending will also be seen in cloud advertising which will account for $90 billion (£62bn) of the market, as firms will be seen to buy ad space on sites, based on user profiles in real-time.

In addition to these, software-as-a-service application, cloud security service and Platform-as-a-service offerings are also expected to grow.

SaaS is expected to attain a 20 percent growth, or $37.7 billion in sales, in 2016; cloud security services will account for $6.2 billion, compared to $5 billion in 2015; and PaaS will account for $4.6 billion, compared to $3.8 billion in 2015.