Cloud computing exposure continues to thrive despite the Covid-19 pandemic. In fact, with a heavier reliance on technology, cloud computing is expected to grow exponentially with companies like Microsoft unveiling a cloud-based service that utilizes satellite technology.

Per a CNBC report, the cloud service “will begin in a ‘private preview’ to a select group of Microsoft customers. Earlier this month CNBC reported on Microsoft’s plans to challenge the Ground Station service that’s available from Amazon Web Services. Amazon and Microsoft are the two largest providers of cloud infrastructure, with data centers in far-flung places that can host websites and run applications using a variety of computing and storage services.”

“With access to low-latency global fiber networks and the global scale of Microsoft’s cloud services, customers can innovate quickly with large satellite datasets,” Yves Pitsch, a principal product manager at Microsoft, wrote in a blog post. “The cloud is central to both modern communications scenarios for remote operations and the gathering, processing, and distributing the tremendous amounts of data from space.”

Of course, Microsoft’s service takes aim at another tech giant, Amazon, who currently holds the reigning title in the cloud computing market.

“Amazon leads the growing cloud-computing market, with 45% in 2019, while Microsoft had about 18%, according to technology industry research company Gartner. Microsoft’s Azure Orbital announcement arrives almost two years after AWS launched Ground Station,” the report said.

Getting ETF Cloud Exposure

One exchange-traded fund to look at is the Global X Cloud Computing ETF (Nasdaq: CLOU). Seeking to track the Indxx Global Cloud Computing Index, the fund holds a basket of companies that potentially stand to benefit from the continuing proliferation of cloud computing technology and services.

The cloud computing industry refers to companies that (i) license and deliver software over the internet on a subscription basis (SaaS), (ii) provide a platform for creating software applications which are delivered over the internet (PaaS), (iii) provide virtualized computing infrastructure over the internet (IaaS), (iv) own and manage facilities customers use to store data and servers, including data center Real Estate Investment Trusts (REITs), and/or (v) manufacture or distribute infrastructure and/or hardware components used in cloud and edge computing activities.

Another fund to consider is the WisdomTree Cloud Computing Fund (WCLD). The fund seeks to track the price and yield performance of the BVP Nasdaq Emerging Cloud Index, which is designed to track the performance of emerging public companies primarily involved in providing cloud computing software and services to their customers. It is non-diversified.

For more market trends, visit the ETF Trends.