The research company Gartner predicts that the market for public cloud services will have a worth of $383.3 billion by 2020. If you’re looking for an investment in the tech space, this is a very promising choice with a wealth of interesting players to choose from.

The cloud is essentially a network of remote servers that businesses can use to store information, host code, or share data. Its popularity has increased significantly in recent years, giving rise to a range of new possibilities and investment-worthy options. Here are our essential tips to investing in Cloud Technology

Consider Contenders Carefully

The cloud space is getting crowded, with a number of major tech companies taking up residence. Cloud services are now available from Amazon, Google, Microsoft, and IBM, to name only a few. If you’re looking for a smaller investment opportunity, there are several options with a lower market cap.

Carl Data Solutions offers cloud storage, collection, and analytics. Inter-cloud focuses on cloud networking and automation environments. Trakopolis, based in the cloud, offers mobile communications and location-based services.

The cloud was once focused primarily on storage. However, its modern shape has come to incorporate many other activities. Businesses are turning to the cloud for computing power, application hosting, and myriad other services. Before you invest, spend some time exploring how different companies are using the flexibility and scalability of the cloud.

Watch Out for the Security Risks

Like any type of technology, the cloud is susceptible to cybercrime. In its earlier days in 2014, the Amazon EC2 server was hacked for bitcoin mining. The raw processing power available on cloud servers makes them a tempting target for this and other fraudulent activities.