Aussie businesses to spend $26B on public cloud services in 2025

“These factors are expected to sustain cloud growth, particularly as enterprises seek agility and scalability amid uncertainty this year, as trade restrictions and tariffs dampen business confidence and introduce greater unpredictability into short-term planning,” he said.

While the situation continues to change, a lot of cloud spend is tied to multi-year annuity contracts with providers.

“Tariffs are more likely to affect input costs and disrupt supply chains for new or incremental cloud spending, rather than existing usage,” he said. “This may lead to cautious spending by providers and delays in data centre expansions, prompting marginal adjustments to cloud spending projections.