Whose estimate is exactly Redfin or Zillow

Bank of America | Blockchain market with a volume of $ 7 billion

Bank of America sees blockchain technology as a growth market and forecasts a market volume of seven billion US dollars. According to a CNBC report, IT giants like Microsoft and Amazon in particular should benefit from this development.

Blockchain market is growing

Based on a CNBC report dated October 2, 2018, Bank of America expects blockchain market sales of seven billion US dollars. Above all, technology giants like Amazon and Microsoft should be able to benefit from this development.

So far, the Bank of America analysts have distanced themselves from assessments of the blockchain market. Now, however, these experts also support the assumption that the market will grow into a billion-dollar market. However, this assessment is based only on a rough estimate, which provides that around two percent of the globally available servers are used to host blockchain applications. The average annual operating costs are said to be US $ 5,500, resulting in annual sales of US $ 7 billion. According to Bank of America analyst Kash Rangan, distributed ledger technology is particularly suitable for some of the largest companies. For example, Amazon will be able to benefit from the gradual implementation of blockchain services. On the one hand, the core business of mail order business becomes more efficient while the rented cloud architecture can be optimized in the long term.

However, Rangan points out that many use cases have already been identified. However, there is a lack of technical implementation and implementation, so that the technology is not yet used in practical everyday business.

Blockchain optimizes business models of large companies

According to Rangan, the established software-as-a-service models can experience the next step in innovation through blockchain technology. Blockchain-as-a-Service is already being used by the well-known technology group Microsoft on the Azure platform (Microsoft for Ethereum on Azure). Blockchain-as-a-Service offers various advantages such as smart contracts and the support of externally developed applications.

But in addition to Microsoft, the Bank of America analysts identify other beneficiaries of the distributed ledger technology. These include Oracle, IBM, Salesforce and VMware. But real estate and pawnbrokers such as Redfin, Zillow and Lendingtree are also among the biggest beneficiaries of the new technology, according to Bank of America. In addition, the experts at Bank of America emphasize that many of the identified beneficiaries have intensified efforts to develop further.

Published data from August 2018 make it clear that IBM and the Chinese e-commerce giant Alibaba have started a race for blockchain technology. Both companies compete in filing new patent applications. In addition, IBM was able to conclude a promising cooperation with the Australian government in the summer of this year. In the course of this cooperation, the IT group supports the government in improving security and automation across various government departments.

And Microsoft is also seeing successes in implementing distributed ledger technology. The group announced its own cloud platform Azure in 2015. This cloud computing platform is based on the Ethereum blockchain and is constantly being optimized by the IT group. The number of users also illustrates the success of the platform and the potential of this combination. The largest competitor in cloud computing and currently also the largest provider of cloud resources, Amazon Web Services, released a framework for Ethereum and Hyperledger Fabric this summer. With this framework, users can develop and manage their own blockchain-based applications.