A new report by real estate consultancy Citigroup claims that the global growth of cloud computing has already been an enormous boon for the real-estate industry.
The report, entitled Cloud and the Real Estate Industry, estimates that the cost of real estate data has gone down by up to 60 per cent since the early 2000s, and predicts that the real value of data will reach $200bn by 2035.
This is up from $120bn in 2015, the report states.
In total, it says that data from cloud providers like AWS, Google and Facebook has delivered an economic windfall of $30bn for the industry.
It says that a significant proportion of this has gone to the likes of Netflix, Amazon and Apple, and that they are also investing in cloud-based solutions that allow them to capture and process this data.
Citi’s report is based on a study carried out by Citigroup.
Citigroup said that data generated by these companies could have an impact on the price of properties across the country.
Its figures show that, in 2020, the value of the data generated from these services has reached $80bn, which is up on $56bn from the same year a decade earlier.
The real estate industry has been caught off guard by this, however, as it has not been able to see the benefits of the cloud in this area, or understand the potential for its impact on its business.
“This has meant that it has been unable to invest in new and more efficient data analytics and data processing,” the report said.
“It has therefore been left with the burden of managing and retaining its data, and it is being left behind in the race to digitise and digitise”.
In the past few years, Citigroup has found that data processing costs have been increasing at an alarming rate, and this has had an effect on the realisation of the potential of cloud.
“Data is the key ingredient for making our lives easier, more productive and more productive for everyone,” the chief executive of Citigroup’s investment division, Paul O’Brien, said.
The rise in the cost per data-processing job has also affected the cost that real estate professionals are willing to pay to operate in the real world, and has led to a decline in the number of people who choose to work in this space.
“While the data is becoming more expensive, it is not necessarily increasing the cost, but rather increasing the quality of data, which in turn means a faster increase in revenue,” the analyst added.
The future of real-world dataIn the report, the analyst found that cloud data could play a key role in providing a better experience for clients, and in improving the way the real properties industry operates.
“In order to achieve this, we need to focus on the right tools and technology for the job, as well as on the data processing tools and services, that provide the best possible service for the business,” he said.
Citing a survey of realtors conducted by the realty industry body, the Citigroup report states that realtorship are now in a position to compete for the services provided by cloud services, as there is a growing recognition of the benefits they are bringing to the sector.
“There is now a strong consensus among industry insiders and realtorial professionals that cloud will be the next big thing for real estate,” the research states.